The cost of petrol and diesel in India remained stagnant on Monday, continuing a ten-month trend of price stability. Prices were last revised in May 2022 after the Finance minister Nirmala Sitharaman announced to slash the excise duty on petrol and diesel by ₹8 per litre and ₹6 per litre, respectively.
Previously, fuel prices used to be revised every 15 days. In 2014, the government deregulated the prices and from 2017, the cost of fuel is updated every day. The government controls the fuel prices through excise duty, base prices and cap prices at which dealers and OMCs deal with each other.
The fuel rates are revised everyday at 6 am by Oil Marketing Companies (OMCs). They are not controlled by the government. It controls the petrol and diesel prices through excise duty, base prices and cap prices at which dealers and OMCs deal with each other.
The fuel prices are not covered under goods and services tax (GST). While the Centre collects excise duty, the states collect VAT. The VAT is different for each state and hence the pricing.
CNG in the national capital territory of Delhi will now cost ₹73.59 per kg, down from ₹79.56, Indraprastha Gas Ltd (IGL) – the firm which retails CNG and piped cooking gas in the city, said in a Twitter post.