Lok Sabha Question No. 1684 (UNSTARRED), answered on 2016-11-25
Subject: Taxes Cess on Petrol and Diesel
Ministry: FINANCE
Asked by: PARVATAGOUDA CHANDANAGOUDA GADDIGOUDAR, B.N. CHANDRAPPA

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF REVENUE

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## LOK SABHA

## UNSTARRED QUESTION NO.1684

## TO BE ANSWERED ON FRIDAY THE 25 TH   NOVEMBER, 2016 AGRAHAYANA 4,  1938 (SAKA)

## TAXES CESS ON PETROL AND DIESEL

1684.   SHRI P.C. GADDIGOUDAR: SHRI B.N. CHANDRAPPA:

Will the Minister of FINANCE be pleased to state:

- (a) whether there has been an increase in the taxes/cess on petrol and diesel;
- (b) if so, the details thereof during the last three years and current year;
- (c) whether the increase in the taxes and cess on the said products has an impact on subsidy disbursed to the oil companies; and
- (d) if so, the details thereof along with the subsidy disbursed to oil companies during the last three years and the current year?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI SANTOSH KUMAR GANGWAR)

(a)  &  (b):  Changes made in  the Basic Excise Duty  (BED) on petrol and diesel (both branded and unbranded) during the last 3 years, are as under:

| Petroleum product        | Petroleum product   | Petrol [Rs./litre]   | Petrol [Rs./litre]   | Diesel [Rs./litre]   | Diesel [Rs./litre]   |
|--------------------------|---------------------|----------------------|----------------------|----------------------|----------------------|
| Notification             |                     | Unbranded            | Branded              | Unbranded            | Branded              |
| No.12/2014-CE 11.07.2014 | dated               | -                    | (-5.15)              | -                    | -                    |
| No.22/2014-CE 12.11.2014 | dated               | 1.50                 | 1.50                 | 1.50                 | 1.50                 |
| No.24/2014-CE 02.12.2014 | dated               | 2.25                 | 2.25                 | 1.00                 | 1.00                 |
| No.1/2015-CE 01.01.2015  | dated               | 2.00                 | 2.00                 | 2.00                 | 2.00                 |
| No.3/2015-CE 16.01.2015  | dated               | 2.00                 | 2.00                 | 2.00                 | 2.00                 |
| No.12/2015-CE 01.03.2015 | dated               | (-3.49)              | (-3.46)              | (-3.70)              | (-3.63)              |
| No.43/2015-CE 06.11.2015 | dated               | 1.60                 | 1.60                 | 0.40                 | 0.40                 |
| No.46/2015-CE 16.12.2015 | dated               | 0.30                 | 0.30                 | 1.17                 | 1.17                 |
| No.1/2016-CE 01.01.2016  | dated               | 0.37                 | 0.37                 | 2.00                 | 2.00                 |
| No.2/2016-CE 15.01.2016  | dated               | 0.75                 | 0.75                 | 2.00                 | 2.00                 |
| No.4/2016-CE 30.01.2015  | dated               | 1.00                 | 1.00                 | 1.50                 | 1.50                 |

Note: In Budget 2015-16, the following changes were effected:

- (i) The effective rate of additional duty of excise (AED), commonly known as Road Cess, was increased from Rs.2 per litre to Rs.6 per litre on both petrol  and  diesel  while  simultaneously  reducing  the  BED  by  Rs.4  per litre.
- (ii) Education  Cess  and  Secondary  and  Higher  Education  Cess  levied  on excisable  goods,  including  petrol  and  diesel,  were  exempted.  On  this count, BED on petrol and diesel were suitably revised.

(c)  &  (d):  The  total  subsidy/  under  recovery  on  petroleum  products  since 2013-14 is as under:

| Particulars   | F.Y. 2013-14   | F.Y. 2014-15   | F.Y. 2015-16   | H1 2016-17   |
|---------------|----------------|----------------|----------------|--------------|
| Diesel        | 62,837         | 10,935         | 0              | 0            |
| PDS Kerosene  | 31,255         | 24,804         | 11,496         | 4,123        |
| Domestic LPG  | 52,247         | 40,569         | 16,074         | 4,557        |
| Total         | 1,46,339       | 76,308         | 27,570         | 8,680        |

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