New Delhi: To provide relief to Oil Marketing Companies from under-recoveries arising from the rise in global oil prices due to the West Asia war, the Finance Ministry has reduced the Special Additional Excise Duty (SAED) on petrol and diesel by ₹10 per litre, with immediate effect. The move is expected to cost over ₹1.5 lakh crore on a yearly basis to the Central Government, which can partly be compensated by a rise in duty on export-bound diesel and jet fuel (Aviation Turbine Fuel).
However, there is no change in the retail prices of petrol and diesel at domestic petrol pumps of Indian Oil, Bharat Petroleum and Hindustan Petroleum. Also, there will be no reduction in the devolution pool, as the Basic Central Excise Duty remains unchanged.
