New Delhi: Union Finance Minister Nirmala Sitharaman on Monday (February 1) announced that the levies on petrol and diesel have been altered. The announcement was made in the Union Budget 2021-22 and the alterations will be applicable from April 1, 2021.
“Consequent to imposition of Agriculture Infrastructure and Development Cess (AIDC) of Rs 2.5 per litre has been imposed on petrol and Rs 4 per litre on diesel,” the annexure to Sitharaman’s Union budget speech noted.
“The Basic excise duty (BED) and Special Additional Excise Duty (SAED) rates have been reduced on them so that overall consumer does not bear any additional burden. Consequently, unbranded petrol and diesel will attract basic excise duty of Rs 1.4, and Rs 1.8 per litre respectively. The SAED on unbranded petrol and diesel shall be Rs 11 and Rs 8 per litre respectively. Similar changes have also been made for branded petrol and diesel,” the annexure said.
Currently, on petrol the excise duty is Rs 32.98 and on diesel Rs 31.83 per litre. Petrol is sold for Rs 86.30 while diesel at Rs 76.48 a litre in Delhi on Monday.
Finance Minister Nirmala Sitharaman presenting the Union Budget 2021 announced farm cess on petrol and diesel that would lead to further rise in fuel prices. The last time the retail price of auto fuels were closer to current levels was on October 4, 2018 when crude prices had shot up to $80 a barrel.
Notably, petrol and diesel prices are revised on a daily basis in line with benchmark international price and foreign exchange rates.
