On the eve of Diwali, the Indian government announced a reduction in excise duties on gasoline and diesel. According to a notification issued by the Ministry of Finance on Wednesday evening, the excise duty on petrol will be reduced by Rs 5 and the excise duty on diesel will be reduced by Rs 10 starting Thursday, resulting in lower petrol and diesel prices.
The finance ministry stated in a press release that crude oil prices have risen globally in recent months. As a result, domestic gasoline and diesel prices have risen in recent weeks, putting inflationary pressure on the economy.
According to the ministry, the reduction in excise duty on diesel will be double that of gasoline, which will benefit farmers during the upcoming Rabi season. In addition, the Centre has urged states to lower the VAT on gasoline and diesel to help consumers.
Following the announcement from the federal government, Assam's chief minister, Himanta Biswa Sarma, announced a Rs 7 reduction in the state's VAT on gasoline and diesel, which will take effect immediately.
Crude oil prices have been rising globally in recent months. As a result, domestic gasoline and diesel prices have risen in recent weeks, putting inflationary pressure on consumers. There have also been shortages and price increases in all forms of energy around the world. The Indian government has worked hard to ensure that there is no energy shortage in the country and that commodities like gasoline and diesel are readily available to meet our needs.
The Indian government has decided to reduce the excise duty on diesel and petrol by a significant amount to help the economy.