On Monday, big news came in the country about petrol and diesel, the government has increased excise duty on petrol and diesel. On the one hand, excise duty on petrol has been increased by Rs 2, on the other hand, the government has decided to increase excise duty on diesel. After this, it was feared that the prices of petrol and diesel will increase in the country, but the matter of relief is that along with increasing excise duty, the government has made it clear that it will not affect the common consumers. The government has taken this decision amid international oil prices fluctuations.
What is excise?
In India, excise duty on petrol and diesel is a tax imposed by the Central Government, which becomes a large part of the price of fuel. Currently, excise duty on petrol is Rs 19.90 per liter. Excise duty on diesel is around Rs 15.80 per liter. It is worth noting that in 2014, excise duty on petrol was Rs 9.48 per liter and Rs 3.56 per liter on diesel, which was later extended several times.
So will the prices of petrol and diesel increase?
Although the government has increased excise duty on petrol and diesel, it has denied that it will have any effect on consumers. The Ministry of Petroleum and Natural Gas has clarified that public sector oil marketing companies have been asked not to increase the retail prices of petrol and diesel after the increase in excise rates.
Excise cut in 2022
It is worth noting that in the year 2021, excise duty on petrol and diesel was ₹ 27.90 and ₹ 21.80 per liter. In May 2022, the central government had reduced the price of petrol by Rs 8 and diesel by Rs 6, after which the same rates were implemented. Currently, the base value of petrol and diesel in India is around Rs 32. The central government is charging Rs 33 as excise duty on this and then various state governments collect VAT and cess according to their own, due to which the prices of diesel and petrol increase by three times.
The Post Petrol Diesel: Sudden excise duty, will petrol-diesel become expensive? First appeared on News India Live | Breaking India News, The Indian Headline, India Express News, Fast India News.
