Islamabad: A detailed breakdown of fuel pricing has revealed that a significant portion of petrol and high-speed diesel prices in Pakistan consists of taxes, duties, and profit margins, according to official sources.
Before taxes, the ex-refinery price of petrol stands at Rs246.31 per litre. However, after adding various levies, duties, and margins, the final consumer price rises to Rs399.86 per litre.
According to government sources, multiple components contribute to the final price structure. These include Rs23.72 per litre as customs duty and Rs7.32 as inland freight margin.
In addition, oil marketing companies receive a margin of Rs7.87 per litre, while petrol pump dealers earn a commission of Rs8.64 per litre.
A major share of the cost comes from government levies, with Rs103.50 per litre charged as petroleum levy. Furthermore, Rs2.50 per litre is imposed as the climate support levy.
Altogether, the combined taxes, duties, and profit margins amount to approximately Rs153 per litre on petrol, reflecting the heavy fiscal burden embedded in fuel pricing.
For high-speed diesel, similar tax structures apply, with total taxes and margins reaching around Rs116 per litre, according to the same sources.
The breakdown highlights that a substantial portion of fuel prices paid by consumers goes to government revenues and distribution margins rather than refinery costs alone, raising continued debate over taxation levels on petroleum products.

