New Delhi: In a major relief for consumers grappling with rising inflation, the government has announced a significant reduction in excise duty on petrol and diesel. The move is expected to bring down fuel prices and ease the financial burden on households and businesses.
According to the official decision, excise duty on petrol has been reduced sharply from ₹13 per litre to ₹3 per litre. In an even bigger step, the excise duty on diesel has been completely eliminated, bringing it down from ₹10 per litre to zero.
This reduction is likely to translate into lower retail prices, provided oil marketing companies pass on the benefits to consumers. Lower fuel costs can also reduce transportation expenses, which may help stabilize prices of essential goods and services.
Experts believe the move is aimed at controlling inflation and boosting economic activity. The complete removal of excise duty on diesel is particularly significant, as it plays a crucial role in the logistics and transportation sector. A reduction in diesel prices can positively impact the entire supply chain.
However, the final retail prices will continue to vary across states, depending on local taxes such as VAT. As a result, consumers may see different price levels in different regions.
Overall, the government’s decision is being viewed as a timely step to support both consumers and industry, offering relief amid ongoing price pressures.
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