Modi government's decision to raise petrol-diesel prices, the government will benefit from this crore

New delhi date. March 14, 2020, Saturday

Saudi Arabia has begun a prize war without agreeing to reduce crude oil production between OPEC countries. Petroleum-diesel was expected to be cheaper in India due to the fall in crude prices in the international market due to the prize war. However, the government has decided to increase excise duty by not giving relief to petrol-diesel prices.

According to information received, the government has increased excise duty on petrol and diesel by Rs 3 per liter which will come into effect from March 14. The increase in excise duty on petrol diesel will bring the government an additional Rs 2,000 crore, sources said. The country's oil companies have recently reduced the price of fuel. It remains to be seen whether the oil companies will bear this extra burden on the consumer or carry it themselves.

There will be no relief for the common man by increasing excise duty
Fears of a recession induced by the Corona virus led to a spike in oil prices in the global market. After this, petrol-diesel became cheaper in India too. Petrol-diesel prices were also likely to fall in the country where crude is falling in the global market. If the government decides to increase excise duty, the reduction in crude prices has greatly reduced the possibility of relief to the general public.

Petrol-diesel expensive despite crude oil prices falling
It is worth noting here that the week before OPEC countries agreed to reduce oil production, Brent crude oil prices fell 30 percent to $ 31 a barrel. Saudi Arabia launches a price war without agreeing to reduce crude oil production among OPEC countries. Russia did not agree to reduce production at a meeting between OPEC countries, but it could not agree on reducing crude production.