Petrol and diesel prices slashed substantially: Know fuel rates in your city

Petrol and diesel prices slashed substantially: Know fuel rates in your city


Petrol and diesel prices have been reduced by 9.5 per litre and 7 per litre respectively.

By : HT Auto Desk
|
Updated on:
22 May 2022, 09:38 AM

Petrol and diesel prices slashed substantially: Know fuel rates in your city
Petrol and diesel prices have shot through the roof in the last few months. (REUTERS)

The central government on Saturday night announced major excise duty on petrol and diesel in order to bring relief to motorists and common people. Finance Minister Nirmala Sitharaman announced that the government has reduced excise duty on petrol and diesel by 8 per litre and 6 per litre respectively. With this, petrol and diesel across India have become cheaper by 9.5 per litre and 7 per litre respectively. With this, prices of petrol and diesel have fallen on 22nd May after remaining unchanged for the last 45 days.

(Also Read: Petrol, diesel price hikes may return soon, warns Union Minister. Here’s why)

Finance minister Nirmala Sitharaman’s announcement came at a time when retail inflation surged to an eight-year high in April 2022, driven by rising fuel prices. After a four and half month hiatus petrol and diesel prices started rising again in March this year, putting pressure on motorists and on common people as well. The government received flak for that. In such a situation the announcement of reducing excise duty comes as a major relief for the motorists and non-motorists as well.

After the price reduction, petrol price in Delhi on Sunday stands at 96.72 a litre as against 105.41 a litre on Saturday, while diesel costs 89.62 a litre as opposed to 96.67 on Saturday. In Mumbai, one litre of petrol costs 111.35 and a litre of diesel costs 97.28. In Chennai, petrol and diesel prices are at 102.65 and 94.24 per litre, respectively. In Kolkata, the price of petrol is 106.03 and diesel costs 92.76 a litre. In Bengaluru, one litre of petrol costs 101.94 and one litre of diesel costs 87.89. In Gurugram, one litre of petrol costs 97.81 and 90.05 for one litre of diesel.

Excise duty on petrol and diesel were reduced earlier in early November last year. The government announced an excise duty cut of 5 per litre for petrol and 10 per litre for diesel. Now, with the fresh cuts in excise duty, the total tax incidence reduction for petrol and diesel becomes 13 per litre and 16 per litre respectively.

The central government increased taxes on petrol to the highest level of 32.9 per litre in 2020, while taxes on diesel too was increased to 31.8 per litre. With the latest tax cut, the central tax incidence on petrol comes down to 19.9 a litre and 15.8 a litre on diesel. The excise duty hikes of 2020 had taken central taxes on petrol to their highest level of 32.9 per litre and that on diesel to 31.8 a litre. After the latest excise cut, the incidence of central tax on petrol will come down to 19.9 a litre and that on diesel to 15.8 per litre.

First Published Date: 22 May 2022, 09:22 AM IST



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