As the IMF authorises a levy cut, petrol prices for industry are expected to decline.

Following the IMF’s approval of a cut in the petrol levy, petrol prices for industrial consumers may drop, potentially providing assistance to industries.

Federal Minister for Petroleum Ali Pervaiz Malik requested that the IMF adopt a new petrol charge formula, according to Ministry of Petroleum sources.

In contrast to the former methodology, which connected the charge to peak hours, the new formula will set rates on an average basis.

According to sources, a 30–60% reduction in the captive power plant charge is anticipated.

Nonetheless, there is a requirement that the national grid’s electrical demand not decrease.

Officials cautioned that the tax might be raised once more if there is less demand for grid electricity. Since the industrial sector has had difficulties due to high electricity costs, the goal of the gas levy is to move enterprises toward the national grid.

Captive power plants are currently subject to a charge of Rs1,343 per MMBTU.

In the current fiscal year, the government hopes to collect Rs105 billion from this fee. The levy rate was previously set as Rs. 690 per MMBTU for August 2025, Rs. 570 for April, Rs. 550 for May, and Rs. 402 for June.