Government cuts excise duty on petrol, diesel amid West Asia war

The government has sharply cut the additional excise duty on petrol and diesel amid the West Asia conflict and rising global fuel prices. Excise duty on petrol has been reduced from Rs 13 per litre to Rs 3 per litre, while diesel duty has been cut from Rs 10 per litre to zero. However, pump prices will remain unchanged as the reduction is intended to help oil marketing companies lower their under-recoveries. The companies were losing money as crude oil costs surged and the rupee depreciated. According to Union Minister Jitendra Singh, the decision followed an emergency meeting called by the Prime Minister on Thursday night, with PM Modi instructing ministries to shield citizens from rising international crude prices. Petroleum Minister Hardeep Singh Puri praised the move, stating that while fuel costs have surged 20-50% globally, India has chosen to protect citizens rather than pass on the full price hike. The move comes amid a global energy crisis linked to the US-Israel-Iran conflict and Tehran's blockade of the Strait of Hormuz, which carries nearly a fifth of the world's oil and gas supply.