Government increases excise duty on petrol and diesel by Rs 3/litre
NEW DELHI: Amid falling crude oil prices around the world, the Government of India has announced a hike on excise duty on petrol and diesel by Rs 3 per litre on Saturday.
The intention is to build revenue amid falling crude oil prices, claim reports.
Special excise duty on petrol increased by Rs 2 to Rs 8 and in case of diesel to Rs 4.
International crude oil prices fell on Wednesday after Saudi Arabia and the United Arab Emirates vowed to boost production, escalating a global price war between OPEC and its allies. Brent was trading at $33.86 per barrel, down by $1.98 or 5.52 per cent.
The travel and leisure industry has been badly impacted by the coronavirus after Italy locked down the entire country and the United States put a ban on travel to the country for at least 30 days.
The retail prices of fuel are dependent on the international crude prices and the rupee-US dollar exchange rate as India imports over 80 per cent of its crude requirements.