Government hikes excise duty on Petrol & Diesel by Rs 3/liter
On Saturday, the excise duty of petrol and diesel has increased by three rupees per liter. Apart from this, the road cess on petrol and diesel has also been increased by Rs 1 per liter to Rs 10. The government issued a notification and informed about it. The price of petrol and diesel includes excise duty, VAT and dealer’s commission. According to the IOCL website, the price of petrol and diesel in the country has been recorded on Saturday. That is, today, customers will have to pay less for a liter of petrol and diesel than on Friday.
Petrol Diesel prices in major metros
According to the IOCL website, today the price of one liter petrol in Delhi, Kolkata and Mumbai has come down by 13 paise and in Chennai it has come down by 14 paise, people will have to pay Rs 69.87 for one liter of petrol in Delhi. In Kolkata, Mumbai and Chennai it has been priced at Rs 72.57 per liter. Talking about diesel, it has reduced by 31 paise in Delhi. It has become cheaper by 16 paise in Kolkata and 17 paise in Mumbai and Chennai. People will have to pay Rs 62.58, 64.91, 65.51 and 66.02 respectively for one liter of diesel in these metros.
Why the excise duty was increased
The increase in excise duty generally results in an increase in the prices of petrol and diesel, but this will be adjusted according to the fall in international rates and will not increase prices. The government has taken this decision in an attempt to increase the profits from the fall in international oil prices. The official notification has said that the special excise duty on petrol has been increased by Rs 2 per liter to Rs eight, while on diesel, this duty has been increased by Rs 2 to Rs 4 per liter.
Price changes at six o’clock every day
The price of petrol and diesel changes at six in the morning every day. The new rates are applicable from 6 o’clock in the morning. In the price of petrol and diesel, excise duty, dealer commission and other things add up almost doubling its price.
This is the basis for fixing the price
Petrol and diesel prices change daily, depending on what the crude prices are in the international market along with foreign exchange rates. On the basis of these standards, the oil companies do the work of fixing the petrol rate and diesel rate daily.
Dealers also add their margin
The dealers are the people running the petrol pumps. They sell themselves at retail prices to consumers after adding taxes and their own margins to consumers. This cost is also added to the petrol rate and diesel rate.
