If Joseph Bernad, crude prices fall, then the excise duty on petrol and diesel may increase by Rs 2 per liter. In fact, at this time the government wants to give relief to the common man and also fix the economy. This is the reason why he did not reach the full benefit of crude despite the price of crude oil falling to $ 26.
Excise duty can be increased by Rs 2 and excise duty of petrol and diesel has been increased by Rs 3. This will bring an additional amount of Rs 30,000 crore to the government exchequer. Sources say that if the price of crude comes to $ 20 per barrel or below, then the government can increase the excise duty on petrol and diesel by another two rupees. Doing so will not put any burden on the petroleum companies. Second, there will be no need to put any burden on the common man. Crude prices continue to fall. Crude prices are expected to come to $ 20 per barrel.
Sources say that due to the price of crude coming to $ 26 per barrel, retail prices of petrol and diesel decrease by about Rs 8. In such a situation, the government increased the excise duty by 3 rupees. Oil companies cut petrol and diesel prices by about Rs 2.50. There is still a margin of 2 rupees.
It could be something that if the price of crude falls below $ 20 per barrel, then there will be a possibility of a reduction of 4 to 5 rupees in the prices of petrol and diesel. Out of this, the government will use Rs 2 to increase its coffers. The government will increase excise duty on petrol and diesel. Work is now being done on this strategy.
What is the reason
Sources say that due to Corona, disinvestment has slowed the fundraising program. The government had set a target of raising one lakh crore rupees this year through disinvestment, but now it is about 30 to 40% away from the target. There is a possibility of some reduction in its tax collection. In such a situation, to compensate for this, he needs to raise money somewhere through other sources.