India withdraws excise duty on ethanol-blended petrol
Excise duty will be “nil” on petrol with 22%, 25%, 27% and 30% ethanol blend.
India, the world's third largest importer and consumer of oil, has waived excise duty on four variants of ethanol-blended petrol, a notification by the Indian Ministry of Finance said yesterday (10 June).
In the notification, the ministry said excise duty will be "nil" on petrol with 22%, 25%, 27% and 30% ethanol blend.
The move, part of the government's broader push to expand the use of ethanol with petrol, comes against the backdrop of petrol and diesel prices rising by nearly Rs7.50 a litre in the second half of May.
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The government had in March cut excise duty on petrol and diesel by Rs10/litre, foregoing over Rs1 lakh crore of annual revenue. The step was aimed at shielding domestic customers from the surge in global crude oil prices amid the West Asia war.
Energy supplies across the world are under pressure due to the ongoing West Asia war which broke out on 28 February after US and Israel launched joint strikes on Iran and has continued to intensify even as peace efforts continue from both sides.
