On Diwali Eve, Govt Announces Excise Duty Reduction On Petrol And Diesel

In a major decision, Central government has decided to reduce Central Excise Duty on Petrol & Diesel by Rs. 5 and Rs. 10 respectively from tomorrow. Accordingly, prices of petrol and diesel will thus come down.

"The reduction in excise duty on diesel will be double that of petrol. The Indian farmers have, through their hard work, kept the economic growth momentum going even during the lockdown phase and the massive reduction in excise on diesel will come as a boost to the farmers during the upcoming Rabi season," stated the government statement.

The government statement noted the economic turnaround in the country. post the COVID-19 induced slowdown and added that the decision to slash the excise duties has been taken to give a further fillip to the economy

"The reduction in excise duty on Petrol and Diesel will also boost consumption and keep inflation low, thus helping the poor and middle classes. Today’s decision is expected to further spur the overall economic cycle.

States are also urged to commensurately reduce VAT on Petrol and diesel to give relief to consumers," added the statement.