The central government has revised the duty structure on petroleum products, increasing the export duty on diesel and aviation turbine fuel (ATF). According to a government notification, the export duty on diesel will now be Rs 14 per liter, while ATF will see a duty of Rs 12.5 per liter. However, there are no changes in the export duty on petrol or the existing excise duty on petrol and diesel in the domestic market.
These revised rates have been in effect since Tuesday, as per the official notification from the revenue department. The government periodically reviews these duties in response to the conditions of the international energy market. The latest adjustment considers the recent shifts in the prices of crude oil and petroleum products globally.
The special additional excise duty and other related cesses on petroleum products undergo a review every 15 days. The last change in duty rates was implemented on June 1. According to officials, the determination of these duties involves an assessment of the average prices of crude oil, diesel, petrol, and ATF at the international level to maintain a balance between domestic and export markets.
The petroleum ministry has reassured that there are adequate reserves of petrol, diesel, LPG, and natural gas in the country, alleviating any concerns about fuel availability for consumers. The ministry has also urged both citizens and industries to use energy resources judiciously. Efforts are underway to ease the pressure on retail outlets, which have seen increased demand, especially in some areas, with a shift of diesel consumption trend towards retail outlets, estimated at about 42 crore liters, impacting the distribution system.
To ensure the uninterrupted availability of fuel to ordinary consumers, the government has temporarily imposed a limit on retail diesel sales. As of June 11, an individual can purchase a maximum of 200 liters of diesel per day from retail pumps. This measure is expected to last approximately 90 days, aiming to balance the fuel distribution system and prevent potential inconvenience to the general public. The ministry asserts that the country’s refineries are operating normally, and there is ample crude oil availability, negating any fears of a fuel shortage.