Petrol, diesel prices increased by Rs 3 as Govt hikes excise duty

- Excise duty hiked on both fuels by Rs 3/litre

- Road cess increased om petrol by Rs 1/litre

- VAT on petrol and diesel hiked by Rs 1 in Maharashtra

The central government has increased the excise duty by Rs 3 per litre on petrol and diesel. This comes after the prices of crude oil dipped to a record low in years.

In the aftermath of the lethal Coronavirus and a fragile economy, the government plans to increase the revenue by increasing the excise duty on the fossil fuels. The government has hiked the Special Excise duty on petrol by Rs 2 to Rs 8 per litre while in the case of diesel, it is Rs 4 per litre. Furthermore, the road cess has been increased by Rs 1 on petrol, thereby taking the amount to Rs 10 per litre on both the fuels.

The hike in the Special Excise duty comes in the wake of the increase in the VAT on petrol and diesel by Rs 1 per litre, earlier this month by the Government of Maharashtra. Just so you know, Maharashtra is one of the very few states in India where VAT on fuel is at the highest.