ISLAMABAD (Kashmir English): Petrol and diesel prices could increase in the next fiscal year as the government is considering raising the Climate Levy in the upcoming federal budget.
According to sources, the levy on petrol and high-speed diesel may be increased by Rs2.50 per litre, taking it from the current Rs2.50 to Rs5 per litre.
The Climate Support Levy was introduced during the current fiscal year and is currently being charged on both petrol and diesel across the country.
If the proposal is approved, the additional levy will become part of the overall fuel price, increasing costs for consumers.
Sources said the government is reviewing the measure as part of its economic and revenue plans for the new fiscal year.
Economic experts believe that higher fuel taxes could increase transportation costs, which may eventually affect the prices of goods and services.
At present, motorists are paying a Climate Support Levy of Rs2.50 per litre on petrol and diesel. The proposed increase would double the charge to Rs5 per litre.
The final decision will be announced after the approval of the federal budget.
