The Government has decided to reduce the Central Excise duty on Petrol and
Diesel by Rs 2 per Litre effective from the October 4, 2017. This measure would
help reducing the prices of Petrol and Diesel and giving relief to consumers.
This follows the sharp criticism of the opposition that prices of petroleum
products in the domestic market are sky rocketing while there has been a slump
in international oil prices.
In the past few weeks, the prices of Petrol and Diesel have been rising and
have touched a peak during the last two weeks. The retail selling prices of
Petrol and Diesel have touched Rs 70.88 per/ litre and Rs 59.14 per litre
respectively at Delhi on October 3, 2017. The prices in other metropolitan
cities are still higher due to state levies.
As a result of reduction in excise duty, the decrease in prices of Petrol
and Diesel will be Rs 2.50 per litre and Rs 2.25 per litre respectively at
The Government is monitoring the developments in the prices of Petrol and
Diesel in the international as well as domestic market.
In view of coming agricultural
season – harvesting of Kharif crops and sowing of Rabi crops; and in the
interest of consumers, the central government has taken the decision for giving
relief to the farmers and consumers in general. The Government stands committed
to take all necessary steps to protect the wellbeing of consumers in the
State Governments are also being requested to make reduction in VAT imposed
by them on Petrol and Diesel so as to give more relief to consumers.