Petrol-diesel floods government coffers during Corona era, fuel prices rise almost daily

- Thus man's helplessness was not noticed at all

New Delhi Dated 18th January 2021 Monday

Even though there was a sense of relief in the second tax in Corona's time, petrol and diesel thus brought tears to man's eyes. The exchequer was flooded with skyrocketing prices of these two fuels.

According to a source, the excise duty collection increased by a whopping 48 per cent. According to the report of the Comptroller and Accountant General (CAG), the government earned Rs 1,96,342 crore during April-November 2020 as compared to Rs 1,32,899 crore received by the government from excise duty in the period between April-November 2019. The most interesting detail was that the government had such a huge revenue despite the decline in diesel sales and distribution by one crore tonnes in this period of 2020.

Petrol and diesel prices have skyrocketed in the last few months. The prices of both were rising regularly. As a result, the Common Man's throne was severely cut. If you look at it this way, the price of petrol and diesel is not so much, but heaps of taxes have been imposed on it, so when it reaches a man, its price skyrockets.

When a consumer buys a liter of petrol or diesel, the original price includes excise duty, dealer's commission, value added tax, etc., so much so that the price of fuel is almost double the original price.

According to a report by the Petroleum Planning and Analysis Cell of the Union Petroleum Ministry, diesel sales fell by more than 10 million tonnes between April and November 2020. Similarly, petrol sales declined by almost the same amount. Even so, the government treasury was filling up. According to those involved in the petroleum sector, the continuous increase in petrol and diesel taxes, despite the weak economy, has brought huge benefits to the exchequer.

In 2020, the government doubled the excise duty on petrol and diesel. Excise duty on petrol was hiked by Rs 13 per liter and diesel by Rs 16 per liter. So, the excise duty on petrol was increased to Rs 32.98 per liter and the excise duty on diesel was increased to Rs 31.83 per liter. That means the government earned Rs 2,39,599 crore from excise duty during the 2019-20 financial year.

Currently, petrol and diesel prices are skyrocketing in key urban areas of the country.