fuel price in Pakistan

 

Pakistan Imposes Record Hike in High-Octane Levy

In a significant move to manage the ongoing economic and fuel crisis, the Government of Pakistan has approved a massive increase in the petroleum levy on high-octane fuel (HOBC). Prime Minister Shehbaz Sharif, during a high-level meeting on March 22, 2026, sanctioned an increase of Rs. 200 per litre in the levy, raising it from Rs. 100 to a total of Rs. 300 per litre.

Why the Increase?

·        Targeting Luxury: The government stated that this hike is specifically aimed at the "affluent class" who use luxury and high-performance vehicles, ensuring the burden of rising global oil costs—fueled by Middle East tensions—does not fall on the general public.

·        Economic Relief: The move is expected to generate approximately Rs. 9 billion per month in savings. These funds are earmarked to provide relief to lower and middle-income groups by keeping regular petrol and diesel prices stable.

·        Austerity Measures: Alongside the hike, the Prime Minister has imposed a strict ban on the use of high-octane fuel in government vehicles at the state's expense.

The New Price

Following the implementation of the new levy, the retail price of High-Octane Blending Component (HOBC) has surged across the country.

Fuel Type	Previous Price (approx.)	New Price (Current)
High Octane (HOBC)	Rs. 335.00	Rs. 535.00 per litre

Note: Regular petrol (Premier Euro 5) currently remains at approximately Rs. 321.17 per litre, and Diesel is at Rs. 335.86 per litre, as the government has opted to absorb the impact of global price hikes for these categories.