The Government of India has announced a reduction in special additional excise duty on petrol and diesel, aiming to ease the financial pressure on oil marketing companies. The duty on petrol has been reduced by ₹10 per litre to ₹3 per litre, while diesel duty has been cut to zero.
This decision comes at a time when oil companies are reportedly facing significant losses, estimated at around ₹48.8 per litre on fuel sales. By reducing the duty, the government intends to help these companies recover financially and maintain stability in fuel supply and pricing.
However, the impact on consumers remains uncertain. Experts suggest that oil companies may use the relief to offset their losses instead of passing on the benefit through lower retail fuel prices. This means that despite the duty cut, consumers may not see an immediate drop in petrol and diesel rates.
The move highlights the balancing act between supporting the energy sector and providing direct relief to the public. Future price changes will likely depend on global crude oil trends and the financial position of oil marketing companies.
