Centre announces excise duty cut on petrol, diesel

New Delhi: Bringing a respite for consumers from the rising inflation and increase in essential commodities, the Central government today announced a reduction in excise duty on fuel.

Informing about the government’s decision, Union Finance Minister Nirmala Sitharaman said the Central excise duty on petrol will be cut by Rs 8 per litre and on diesel by Rs 6 per litre.

Following the decision, the price of petrol will come down by Rs 9.5 per litre and of diesel by Rs 7 per litre, Sitharaman added.

It will have revenue implication of around Rs 1 lakh crore per year for the government, she informed.

Also, the government announced a subsidy of Rs 200 per cooking gas cylinder for this year.

Consumers can avail the subsidy on up to 12 cooking gas cylinders, she said, adding that the decision will have a revenue implication of around Rs 6,100 crore a year.

Over nine crore beneficiaries of the Pradhan Mantri Ujjwala Yojana will benefitted with the decision.

“We are also reducing the customs duty on raw materials and intermediaries for plastic products where our import dependence is high. Import duty on some raw materials of steel will be reduced. Export duty on some steel products will be levied,” the Union Finance Minister added.