Steps by Government to ensure fair and reasonable prices of Petrol & Diesel for consumers

Steps by Government to ensure fair and reasonable prices of Petrol & Diesel for consumers

Government has been taking various steps to ensure fair and reasonable prices for consumers. Domestically, Petrol and Diesel prices have come down from Rs. 110.04 and Rs. 98.42 per litre in November 2021 to Rs. 94.77 and Rs. 87.67 per litre respectively (as on 18.11.2024, Delhi prices) as a result of reduction of Central Excise duty by the Central Government by a total of Rs. 13/litre and Rs. 16/litre on petrol and diesel respectively in two tranches in November 2021 and May 2022, which was fully passed on to consumers. Some State Governments also reduced state VAT rates to provide relief to citizens. In March, 2024, OMCs also reduced the retail prices of petrol and diesel by Rs. 2 per litre each, across the country.

Government of India also took several other steps to insulate common citizens from high international prices, which included diversifying the crude import basket, windfall taxes on export of petroleum products, invoking the provisions of Universal Service Obligation to ensure availability of petrol & diesel in domestic market, increasing the blending of ethanol in petrol, etc.

Recently PSU OMCs have carried out intra-state freight rationalisation. This has benefitted consumers located at remote areas, far from Petroleum Oil & Lubricants (POL) Depots in form of reduced Petrol and Diesel prices in remote parts within the states. This initiative has also reduced the difference between the maximum and minimum retail prices of Petrol or Diesel within a state.This information was given by THE MINISTER OF STATE IN THE MINISTRY OF PETROLEUM AND NATURAL GAS SHRI SURESH GOPI, in a written reply in Lok Sabha today