Wednesday, Jun 29, 2022
Outlook.com

Centre Cuts Excise Duty On Petrol By Rs 8 Per Litre, On Diesel By Rs 6 Per Litre

With this, petrol will be cheaper by Rs 9.5, whereas diesel will be cheaper by Rs 7. 

Centre Cuts Excise Duty On Petrol By Rs 8 Per Litre, On Diesel By Rs 6 Per Litre
Petrol and diesel sales in India.

The Central government on Saturday announced a sharp decrease in excise duty on fuel prices. Union Finance Minister Nirmala Sitharaman said that the excise duty on petrol will be slashed by Rs 8 per litre, whereas the excise duty on diesel is reduced by Rs 6 per litre. With this, petrol will be cheaper by Rs 9.5, whereas diesel will be cheaper by Rs 7. 

"We are reducing the Central excise duty on petrol by Rs 8 per litre and on Diesel by Rs 6 per litre. This will reduce the price of petrol by Rs 9.5 per litre and of diesel by Rs 7 per litre. It will have a revenue implication of around Rs 1 lakh crore/year for the government," Sitharaman said. 

She has also asked the states to exhort a reduction in excise duty. 

In a bid to tackle rising inflation and provide a support mechanism to those struggling with rising prices, the finance minister announced a slew of other measures. The union minister has announced a fertilizer subsidy of Rs 1.10 lakh crore for farmers. The government has also announced a subsidy in gas cylinders of Rs 200 (up to 12 cylinders) to over 9 crore beneficiaries of Pradhan Mantri Ujjwala Yojana. The move has a revenue implication of around Rs 6,100 crore a year.

Sitharaman also announced a reduction in import duty on plastic products and raw materials. Moreover, the government is also working on calibrating customs duty on raw materials and intermediaries to reduce prices. 

Advertisement
Advertisement
Advertisement