The Finance Ministry increases the petroleum levy on Saturday after the International Monetary Fund (IMF) raised over the reduction in POL prices over the previous two weeks.
On Saturday, the government maintained the rates for petrol and diesel at Rs224.80 per litre and Rs235.30 per litre, respectively, while raising the tax on petrol. PL on petrol was Rs32.42 from October 1, 2022. by Rs14.84 to Rs47.26 per litre and lowering it for diesel with immediate effect beginning on October 16, 2022.
The PL on petrol was Rs32.42 from October 1, 2022.
When the finance ministry decreased the petroleum charge on gasoline by Rs5 to Rs32.42 per litre from Rs37.42 on October 1, 2022, the IMF expressed concern, which led to the increase in the petroleum levy on Mogas.
According to the terms of the deal with the IMF, the government must increase the petroleum levy on gasoline and diesel to Rs50 per litre in order to generate Rs850 billion in revenue during the current fiscal year.
However, starting on October 16, 2022, the tax on fuel would be decreased by Rs5.44 to Rs7.14 per litre.
The petroleum levy on fuel was Rs12.58 per litre from October 1, 2022.
The current fuel duty rates for HOBC are Rs30 per litre, Rs8.90 for kerosene oil, Rs1.59 for light diesel oil, and Rs23.21 for E-10 gasoline.
On petrol, the inland freight equalization margin (IFEM) was reduced by Re0.52 to Rs2 per litre from Rs2.53.
The district margin, which includes the additional margin on gasoline, is Rs3.68 per litre, compared to the dealers’ profit of Rs7 per litre.
In the case of fuel, IFEM has increased by Re0.07 per litre, reaching Rs1.83 from Rs1.76. Additionally, the district margin, which includes extra margin, is Rs3.68 per litre for fuel and the dealer margin is Rs7 per litre.