New Delhi: The Central Government has increased the windfall tax on petrol exports to ₹2.5 per litre from ₹0.5 per litre, while reducing the levy on diesel exports to ₹8.5 per litre from ₹16 per litre for the fortnight beginning October 16.
According to a notification issued by the Ministry of Finance, the revised duties came into effect on Friday. The export duty on aviation turbine fuel (ATF) has been retained at ₹10.5 per litre.
The revised rates apply to exports, while existing duty rates on petrol and diesel cleared for domestic consumption remain unchanged, the ministry said.
The government introduced export duties on diesel and ATF on March 27 amid escalating tensions in West Asia. The levy on petrol exports was subsequently introduced from May 16. The duty rates are reviewed every fortnight.
The windfall tax mechanism aims to improve the domestic availability of petroleum products and discourage exporters from taking undue advantage of price differences in international markets, particularly amid fluctuations in global crude oil prices.
The latest revision comes against the backdrop of continuing uncertainty in global energy markets amid the West Asia conflict.
[DD News]