Summary Sources added that the increase in the climate levy has been adjusted through a reduction in the petroleum levy.
ISLAMABAD (Dunya News) The climate levy on petrol and diesel has been increased by Rs2.50 per litre, taking the levy from Rs2.50 to Rs5 per litre.
According to sources, the climate levy on petrol and diesel has been increased by Rs2.50 per litre. Sources said that the prices of petrol and diesel are currently unchanged, and the increase in climate levy on petroleum products has no impact on prices, the climate levy was increased on the condition of the IMF.
Sources added that the increase in the climate levy has been adjusted through a reduction in the petroleum levy.
The Petroleum Division late Wednesday issued notifications confirming that the revised levies came into effect from July 2.
Under the new notification, the Climate Support Levy on both petrol and diesel has been increased by Rs2.50 per litre, taking the levy from Rs2.50 to Rs5 per litre.
The same increase has also been applied to the high-octane blending component (HOBC).
To offset the increase in the Climate Support Levy, the government has reduced the Petroleum Levy on petrol and high-speed diesel by Rs2.50 per litre.
The Petroleum Levy on HOBC has also been cut by Rs2.50 per litre.
As a result of the simultaneous increase in the Climate Support Levy and reduction in the Petroleum Levy, the current retail prices of petrol and diesel remain unchanged despite the revision in the tax structure.
The Petroleum Division issued the notifications as part of the government's revised fuel levy framework, which took effect from July 1.
The latest changes come after the federal government last week kept the prices of petrol and diesel unchanged at Rs299.50 and Rs311.47 per litre, respectively, following its fuel price review.
