The Central government has reduced the excise duty on petrol and diesel by ₹10 per litre to shield consumers and oil marketing companies from soaring global crude prices. This move shifts the daily burden of ₹2,400 crore from OMCs to the exchequer, potentially straining fiscal targets and impacting tax revenues of ₹7.4 lakh crore from the petroleum sector.
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1-Minute Revision
- ›Excise Duty Cut: ₹10 per litre each on petrol & diesel
- ›Daily OMC Under-recovery: ₹2,400 crore
- ›Target this Data: ₹10 per litre excise duty cut on petrol and diesel; ₹2,400 crore daily under-recovery by OMCs.
- ›Target this Nodal Body: Petroleum Planning and Analysis Cell (PPAC) – the source of revenue data.
- ›Target this Legal Point: Special Additional Excise Duty (SAED) levied on motor spirit and high-speed diesel.
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