Petrol and Diesel Price Cut: The Government of India has announced an excise duty reduction on petrol and diesel on the eve of Diwali. The Ministry of Finance, in a notification on Wednesday evening, said the excise duty on petrol will be reduced by Rs 5 and the excise duty on diesel will be reduced by Rs 10 from Thursday, and the prices of petrol and diesel will come down accordingly.

In the press release, the finance ministry stated that crude oil prices have witnessed a global upsurge in recent months. As a consequence, domestic prices of petrol and diesel had increased in recent weeks and these factors were exerting inflationary pressure.

The ministry said that the reduction in excise duty on diesel will be double that of petrol and this will come as a boost to the farmers during the upcoming Rabi season.

Furthermore, the Centre has urged states to reduce VAT on petrol and diesel to give relief to consumers.

Also Read – Petrol and diesel price November 3: Fuel rate steady at all-time highs; Check price in Delhi, Mumbai here

After the reduction in central excise duty on petrol and diesel, Union Petroleum Minister Hardeep Singh Puri tweeted that states should add to this celebration by reducing VAT on fuel to give further relief to consumers.

Assam CM announces reduction in VAT on petrol and diesel

Following the Centre’s announcement, Assam CM Himanta Biswa Sarma also announced the reduction in VAT on petrol and diesel by Rs 7 with immediate effect in the state.

 

Petrol and diesel to be cheaper by Rs 12 and Rs 17 respectively in Tripura

Petrol and Diesel Price Cut — Govt of India’s Full Press Note

“Government of India has taken a significant decision of reducing Central Excise Duty on Petrol & Diesel by Rs. 5 and Rs. 10 respectively from tomorrow. Prices of petrol & diesel will thus come down accordingly.

The reduction in excise duty on diesel will be double that of petrol. The Indian farmers have, through their hard work, kept the economic growth momentum going even during the lockdown phase and the massive reduction in excise on diesel will come as a boost to the farmers during the upcoming Rabi season.

In recent months, crude oil prices have witnessed a global upsurge. Consequently, domestic prices of petrol and diesel had increased in recent weeks exerting inflationary pressure. The world has also seen shortages and increased prices of all forms of energy. The Government of India has made efforts to ensure that there is no energy shortage in the country and that commodities such as petrol and diesel are available adequately to meet our requirements.

Driven by the enterprising ability of India’s aspirational population, the Indian economy has witnessed a remarkable turnaround post the COVID-19 induced slowdown. All sectors of the economy – be it manufacturing, services or agriculture – are experiencing significant upward economic activity.

To give a further fillip to the economy, the Government of India has decided to significantly reduce the excise duty on diesel and petrol.

The reduction in excise duty on Petrol and Diesel will also boost consumption and keep inflation low, thus helping the poor and middle classes. Today’s decision is expected to further spur the overall economic cycle.

States are also urged to commensurately reduce VAT on Petrol and diesel to give relief to consumers.”