Decision to Restore Monthly Relief for Motorcyclists
Government approves Rs2,000 compensation for motorcyclists
By Sajid Ali | Published September 13, 2026 | 04:18 PM
The Finance Ministry has rejected a proposal to utilize emergency funds for reducing the petroleum levy, despite a sharp increase in petroleum product prices.
ISLAMABAD: Following rising fuel costs, the government has approved a monthly compensation of approximately Rs2,000 for motorcyclists as a relief measure. This scheme is set to run initially for three months, with potential extensions dependent on the Middle East situation. However, critics argue that at current prices, this amounts to merely five liters of petrol per motorcyclist.
The report by Express Tribune highlights that the government currently collects Rs106 (28%) in taxes on petrol and Rs101 (25%) on diesel. While the public struggles, the government’s decision not to reduce levies has been met with skepticism.
Unusually, the Petroleum Ministry had suggested cutting the levy and covering the deficit with Rs430 billion in emergency funds, but this proposal was rejected by the Finance Ministry, citing the International Monetary Fund (IMF). It is noted that out of the Rs389 billion in emergency funds allocated last fiscal year, Rs276 billion was spent, leaving Rs113 billion. An additional Rs100 billion was collected from the petroleum levy, totaling Rs213 billion available for relief—a sum that was seemingly ignored. The announcement of this Rs2,000 relief is seen as an attempt to ease political pressure ahead of Jamaat-e-Islami’s planned long march on September 20th.
