Nirmala Sitharaman: Excise Duty On Gasoline And Diesel Will Be Reduced By ₹9.5 And ₹7 Per Litre, Respectively

Union finance minister Nirmala Sitharaman announced on Saturday that the Centre has decided to lower the central excise duty on petrol by $8 per litre and diesel by $6 per litre. She noted that the measure will lower the price of gasoline by 9.5 cents per litre and diesel by 7 cents per litre. Nirmala Sitharaman, the Union Finance Minister, announced that the Centre will lower the national excise duty on gasoline by $8 per litre and diesel by $6 per litre.

In a series of tweets, the minister of finance stated, “This will have a financial consequence of roughly 1 lakh crore per year for the country.”

Sitharaman’s Call

Sitharaman also called on state governments to follow suit.

“I would like to push all state administrations, particularly those where the reduction was not implemented during the last round (November 2021), to impose a similar cut and provide assistance to the common person,” she wrote.

The action came on the same day that CNG prices in the country’s capital were raised by $2 per kilogramme, marking the 13th pricing hike in just under two months. According to statistics available on the site of Indraprastha Gas Ltd (IGL), the company that sells CNG & piped cooking gas in the national capital and surrounding areas, CNG now costs $75.61 per kilogramme, up from $73.61 per kilogramme.

Compressed Natural Gas (CNG) has been priced at 76 per kilogramme by Mahanagar Gas Limited (MGL) in Mumbai. Prices differ from place to place due to the impact of taxation such as VAT.

Pradhan Mantri Ujjwala Yojana

Over 9 crore participants of the Pradhan Mantri Ujjwala Yojana will receive a subsidy of $200 for each gas cylinder (up to 12 cylinders), according to Sitharaman. “Our mothers and sisters will benefit from this.” “This will result in revenue of roughly 6,100 crores each year,” she added.

“We’re also lowering customs duties on raw materials and facilitators for plastic items, where we rely heavily on imports.” “This will result in lower end-product costs,” she wrote.

“In addition to the chemical subsidy of 1.05 lakh crore allocated in the budgetary, an additional sum of 1.10 lakh crore has been provided to even further comfort our farmers,” Sitharaman added.

“We’re also adjusting customs duties on iron and steel raw materials and middlemen to lower prices.” Import duties on some steel raw materials will be decreased. Some steel items will be subject to export duties, according to the minister.