Union Home Minister Amit Shah commended the Modi government’s decision to reduce excise duty on fuel, providing relief to citizens amidst global fuel shortages caused by the West Asia crisis. Shah highlighted the significance of this move in light of escalating fuel prices worldwide due to the crisis.
The government’s decision to slash excise duties on petrol and diesel by Rs 10 per litre each, setting petrol at Rs 3 per litre and diesel at zero, aims to mitigate the impact of soaring global oil prices. Additionally, exemptions on duties for fuel exports and supplies to foreign-going aircraft have been implemented.
Amid concerns of a potential price surge triggered by the global energy crisis, including the US-Israel conflict with Iran and the blockade of the Strait of Hormuz, the reduction in excise duties is a strategic response. Oil marketing companies are expected to absorb the reduction to counter their current losses resulting from high global crude prices.
Global oil prices have shown a decline, with Brent crude futures dropping by 2.29% to $105.53 per barrel and US WTI futures falling by 2.54% to $92.08. The government reassured the public of India’s secure and controlled petroleum and LPG supply situation, cautioning against misinformation campaigns aimed at creating unwarranted panic.
