Hike in Excise Duty on petrol and diesel
December 2, New Delhi: Government announced a hike on excise duty by Rs 2.25 a litre on petrol and Rs 1 a litre on diesel that will come into effect from midnight today. However, thanks to the decline in oil prices worldwide, Indian consumers will not have to bear the brunt of the rise. The price of petrol and diesel will remain the same. On the other hand the additional revenue collected by the government will be to the tune of Rs 4,000 crore in the remaining fiscal that is hoped to control deficit.
It was just the other day that keeping in view the international prices, India oil companies announced a reduction in price, eighth such reduction since August, by 91 paise a litre for petrol and 84 paise a litre for diesel. And, the hike in the excise duty had been the second such increase in three weeks, the last one being on November 12.