Gov’t suspends fuel levy; prices set to decline at pumps from April 1

The government has directed the National Petroleum Authority (NPA) to temporarily suspend the Price Stabilization and Recovery Levy (PSRL) on petroleum products.

This suspension of the levy charged on petroleum products and liquid petroleum gas (LPG) is effective from Monday, April 1, to June 30, 2024.

The National Petroleum Authority served the suspension notice via a letter to players in the oil marketing and distribution sector.

The letter noted that the suspension had been directed by the finance and energy ministries.

“The NPA has responded to this directive by announcing the removal of the PSRL from the price build-up, effective April 1st until June 30th, 2024.

“All Oil Marketing Companies (OMCs) and LPG Marketing Companies (LPGMCs) must adhere to the revised PSRL rates during this period,” a letter from the NPA said.

The action could see the price of petrol reduced by 16 pesewas, diesel by 14 pesewas and LPG also 14 pesewas per kilogramme.

However, there have been earlier projections of prices of petroleum products going up from April 1, 2024.

The letter announcing the suspension also stated that the action was to cushion consumers from rising global market prices.

Consumers are advised to take note of these changes and adjust their expectations accordingly.