Petrol and diesel prices have increased by up to 72 percent under the Narendra Modi government. During this, the excise duty on oil has also increased by 530 percent.
Tax on Petrol & Diesel: The common man in the country is facing the brunt of expensive petrol and diesel. Petrol and diesel prices have increased by Rs 9.50 per liter in the last 15 days. Due to this, the prices of many essential things are reaching the sky. Now all eyes are on the government that maybe in the coming days there will be some relief on oil. Let us tell you that since May 2014, that is, in the Narendra Modi government, the prices of petrol and diesel have increased by 72 percent. At the same time, the excise duty levied on petrol and diesel has also been increased by 530 percent during this period. Whereas Brent crude prices today are almost at the same where they were at the beginning of the first term of the Modi government. During this, the government has filled its treasury with oil. In the last 3 years, the central government has earned about Rs 8.02 lakh crore from tax on petrol and diesel.
Crude and petrol-diesel in the year 2014
International Crude Prices: $106/barrel (average in May 2014)
Petrol Price: (May, 2014): Rs 71.41/Litre (Average)
Diesel Prices: (May, 2014): Rs 55.49/Litre (Average)
Tax on petrol: Rs 9.48/litre
Tax on Diesel: Rs 3.56/Litre
Crude and petrol-diesel in April 2022
International Crude Prices: $109/barrel
Petrol Price (April 5, 2022): Rs 104.61/Litre
Diesel Price (April 5, 2022): Rs 95.87/Litre
Tax on petrol: Rs 27.90/litre (increased 203%)
Tax on Diesel: Rs 21.80/Litre (increase 530%)
Excise duty increased by 530 percent in Modi government
When the Modi government was formed for the first time at the Center in 2014, at that time the excise duty on petrol was Rs 9.20 per liter and that on diesel was Rs 3.46 per liter. Talking about the latest data, the excise duty on petrol and diesel is Rs 27.90 per liter and Rs 21.80 per liter. The government had cut the duty around Diwali last year. Before that it was Rs 32.98 and Rs 31.83 per liter. At present, since the beginning of the first term of the Modi government, till now, the excise duty on petrol has increased by more than 203 percent and on diesel by about 530 percent.
You have to pay more than double the price
According to the Petroleum Planning and Analysis Cell, which works under the Petroleum Ministry, if we talk about the price paid for petrol in Delhi, then on every 100 rupees, customers have to pay 45.3 rupees. In this, the tax paid to the central government is about Rs 29 and the tax paid to the state government is about Rs 16.30. On the other hand, governments in Maharashtra have to pay tax of Rs 52.5 per 100 rupees, Rs 52.4 in Andhra Pradesh, Rs 51.6 in Telangana, Rs 50.8 in Rajasthan, Rs 50.6 in Madhya Pradesh, Rs 50.2 in Kerala and Rs 50 in Bihar. . That is, you pay more than half the price to the governments in the form of tax.
What is the benefit of increasing excise duty by Re 1
According to a report, every rupee increase in excise duty on petrol and diesel leads to an annual increase of Rs 13,000-14,000 crore in the central government exchequer. At the same time, the reduction in crude prices helps the government to reduce the trade deficit. In fact, India buys about 82 percent of its crude needs. In such a situation, the current account deficit (CAD) of the country can also decrease due to reduction in crude prices.
(Note: The information given here is based on the data of petrol, diesel prices, crude prices and excise duty from May 2014 till date.)
(source: petroleum planning and analysis cell, India Oil Corporation)