Lok Sabha Question No. 2091 (UNSTARRED), answered on 2021-03-08
Subject: Petrol Prices in Neighbouring Countries
Ministry: PETROLEUM AND NATURAL GAS
Asked by: T.N. Prathapan, Behanan Benny, Faizal P.P. Mohammed

## LOK SABHA UNSTARRED QUESTION NO. 2091 TO BE ANSWERED ON 8 TH  MARCH, 2021

## Petrol Prices in Neighbouring Countries

2091.  SHRI T.N. PRATHAPAN: SHRI BENNY BEHANAN: SHRI MOHAMMED FAIZAL P.P.:

## पेोलयम और ाक ृतक गैस मंी

Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state:

- (a) the highest as well as lowest price of petrol, diesel and LPG in comparison to crude oil prices in India since 2010 to the present day;
- (b)  the  details  of  the  tax  that  is  levied  by  the  Government  on  petrol,  diesel  and  LPG  in  India including the difference between their base price;
- (c) the details of comparison of tax levied by the Government during lowest and highest prices for petrol, diesel and LPG in the country since 2010 to the present day;
- (d) the details of price of petrol and diesel as on 18th February, 2021 and the reasons of price hike  of  petroleum  products  in  India  and  whether  the  increases  the  prices  also  includes  the provision to build toilets in India; and
- (e)  the  detailed  comparison of the prices of petroleum products with the prices in other South Asian countries and the reasons, if the prices of these are high in our country?

## ANSWER

## पेोलयम और ाक ृतक गैस मंी ( ी धम धान )

## MINISTER OF PETROLEUM AND NATURAL GAS (SHRI DHARMENDRA PRADHAN)

- (a): The details of highest and lowest prices of petrol, diesel and domestic LPG at Delhi in comparison to Indian Basket of Crude Oil since April, 2010 is given below:
- (b): The details of taxes levied on petrol, diesel and Domestic LPG are given below:
- (i) Customs duty: The Basic Customs Duty (BCD) on petrol and diesel is given below:
- (ii) Excise duty: The details of the total incidence of excise duty (including Basic Excise duty, Cesses and Surcharge) are as under:
- (iii) VAT: State wise actual rates of VAT on petrol and diesel as on 1 st March 2021 are given as Annexure-1 .
- (iv)      GST: Domestic LPG is covered under GST with applicable rate of 5%.
- (c)        The details of taxes during the lowest and highest price for petrol, diesel and LPG since 2010 is as under:
-  SAED - Special additional excise duty
-  BED - Basic Excise Duty
-  AED - Additional Excise Duty
-  RICRoad & Infrastructure Cess
-  AIDCAgriculture Infrastructure and Development Cess
-  EC & SHECEducation Cess and Secondary & Higher Education Cess

| Particulars   | Petrol             | Diesel             | Retail selling Price of Domestic LPG   | Indian Basket of Crude Oil   |
|---------------|--------------------|--------------------|----------------------------------------|------------------------------|
|               | Rs./Litre          | Rs./Litre          | Rs./14.2 kg cylinder                   | $/bbl                        |
| Highest       | 91.17 (01.03.2021) | 81.94 (30.07.2020) | 1241.00 (04.01.2014)                   | 125.44 (13.03.2012)          |
| Lowest        | 47.93 (01.04.2010) | 37.62 (20.07.2010) | 466.50 (01.09.2016)                    | 13.71 (22.04.2020)           |

| Particulars                 | Basic Customs Duty   |
|-----------------------------|----------------------|
| Petrol                      | 2.5%                 |
| Petrol (branded)            | 2.5%                 |
| High Speed Diesel           | 2.5%                 |
| High Speed Diesel (branded) | 2.5%                 |

| Commodity          | BED            | SAED           | RIC            | AIDC           | Total          |
|--------------------|----------------|----------------|----------------|----------------|----------------|
|                    | (Rs per litre) | (Rs per litre) | (Rs per litre) | (Rs per litre) | (Rs per litre) |
| Petrol (unbranded) | 1.40           | 11             | 18             | 2.5            | 32.90          |
| Petrol (branded)   | 2.60           | 11             | 18             | 2.5            | 34.10          |
| Diesel (unbranded) | 1.80           | 8              | 18             | 4.0            | 31.80          |
| Diesel (branded)   | 4.20           | 8              | 18             | 4.0            | 34.20          |

| Particu lars   |                             | Customs Duty                                                    | Excise Duty (in Rs./litre)   | Excise Duty (in Rs./litre)   | Excise Duty (in Rs./litre)   | Excise Duty (in Rs./litre)   | Excise Duty (in Rs./litre)   | Excise Duty (in Rs./litre)   | Excise Duty (in Rs./litre)   | VAT (in Delhi)   |
|----------------|-----------------------------|-----------------------------------------------------------------|------------------------------|------------------------------|------------------------------|------------------------------|------------------------------|------------------------------|------------------------------|------------------|
|                |                             |                                                                 | BED                          | SAE D                        | AE D                         | RI C                         | AIDC                         | EC &S HE C                   | Total                        |                  |
| Petrol         | Highest (As on 01.03.20 21) | 2.5% plus 10% social welfare surcharge                          | 1.40                         | 11                           | -                            | 18                           | 2.5                          | -                            | 32.90                        | 30%              |
| Petrol         | Lowest (As on 01.04.20 10)  | 7.5% plus 3% education cess and Higher secondary education cess | 6.35                         | 6                            | 2                            | 0                            | 0                            | .43                          | 14.78                        | 20%              |

| Diesel   | Highest (As on 30.07.20 20)   | 2.5% plus 3% social welfare surcharge                           |   4.83 | 9   |   - | 18   | -   |    - |   31.83 | 30%   |
|----------|-------------------------------|-----------------------------------------------------------------|--------|-----|-----|------|-----|------|---------|-------|
| Diesel   | Lowest (As on 20.07.20 10)    | 7.5% plus 3% education cess and Higher secondary education cess |    2.6 | -   |   2 | -    | -   | 0.14 |    4.74 | 12.5% |

During the period 1 st April,  2010  to  30 th June,  2017,  there  was  NIL  excise  duty  on  Domestic LPG. Post implementation of GST, effective 1 st July, 2017, there is no excise duty on Domestic LPG as the product is under ambit of GST. Presently, Domestic LPG is covered under GST with applicable rate of 5%.

- (d) & (e): Prices of petrol and diesel have been made market-determined by the Government with  effect  from  26.06.2010  and  19.10.2014  respectively.  Since  then,  the  Public  Sector  Oil Marketing Companies (OMCs) take appropriate decision on pricing of petrol and diesel in line with their international product prices, exchange rate, tax structure, inland freight and other cost elements.   The retail selling price of Petrol and Diesel at Delhi (as per IOCL) as on 18.02.2021 is Rs.89.88/Litre and Rs.80.27/Litre respectively.

The prices of petroleum products in the country are benchmarked to international product prices. Generally, the price of petroleum products in the country are higher/lower than other countries due to a variety of factors,  including  prevailing  tax  regime  and  subsidy  compensations  by  the respective Governments, the details of which are not maintained by the Government.

Annexure referred to in reply to part (b) of Lok Sabha Unstarred Question No. 2091 asked by Shri T.N. Prathapan, Shri Benny Behanan, Shri Mohammed Faizal P.P. to be answered on 8 th March, 2021 regarding 'Petrol Prices in Neighbouring Countries'.

## Statement of Actual rates of Sales tax/ VAT levied by various States/ UTs as on 01.03.2021

|   Sr. No | State                                    | Petrol                                                                                        | Diesel                                                                                        |
|----------|------------------------------------------|-----------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------|
|        1 | Andaman &Nicobar Islands                 | 6%                                                                                            | 6%                                                                                            |
|        2 | Andhra Pradesh                           | 31% VAT + Rs.4/litre VAT+Rs.1/litre Road Development Cess and Vat thereon                     | 22.25% VAT + Rs.4/litre VAT+Rs.1/litre Road Development Cess and Vat thereon                  |
|        3 | Arunachal Pradesh                        | 20.00%                                                                                        | 12.50%                                                                                        |
|        4 | Assam                                    | 32.66% or Rs.22.63 per litre whichever is higher as VAT minus Rebate of Rs.5 per Litre        | 23.66% or Rs.17.45 per litre whichever is higher as VAT minus Rebate of Rs.5 per Litre        |
|        5 | Bihar                                    | 26% or Rs 16.65/Litre whichever is higher (30% Surcharge on VAT as irrecoverable tax)         | 19% or Rs 12.33/Litre whichever is higher (30% Surcharge on VAT as irrecoverable tax)         |
|        6 | Chandigarh                               | Rs.10/KL cess +22.45% or Rs.12.58/Litre whichever is higher                                   | Rs.10/KL cess + 14.02% or Rs.7.63/Litre whichever is higher                                   |
|        7 | Chhattisgarh                             | 25% VAT + Rs.2/litre VAT                                                                      | 25% VAT + Rs.1/litre VAT                                                                      |
|        8 | Dadra and Nagar Haveli and Daman and Diu | 20% VAT                                                                                       | 20% VAT                                                                                       |
|        9 | Delhi                                    | 30% VAT                                                                                       | Rs.250/KL air ambience charges + 16.75% VAT                                                   |
|       10 | Goa                                      | 27% VAT + 0.5% Green cess                                                                     | 23% VAT + 0.5% Green cess                                                                     |
|       11 | Gujarat                                  | 20.1% VAT+ 4% Cess on Town Rate &VAT                                                          | 20.2% VAT + 4 %Cess on Town Rate&VAT                                                          |
|       12 | Haryana                                  | 25% or Rs.15.62/litre whichever is higher as VAT+5% additional tax on VAT                     | 16.40% VAT or Rs.10.08/litre whichever is higher as VAT+5% additional tax on VAT              |
|       13 | Himachal Pradesh                         | 25% or Rs 15.50/Litre- whichever is higher                                                    | 14% or Rs 9.00/Litre- whichever is higher                                                     |
|       14 | Jammu &Kashmir                           | 24% MST+ Rs.5/Litre employment cess, Reduction of Rs.0.50/Litre                               | 16% MST+ Rs.1.50/Litre employment cess                                                        |
|       15 | Jharkhand                                | 22% on the sale price or Rs. 17.00 per litre , which ever is higher + Cess of Rs 1.00 per Ltr | 22% on the sale price or Rs. 12.50 per litre , which ever is higher + Cess of Rs 1.00 per Ltr |
|       16 | Karnataka                                | 35% sales tax                                                                                 | 24% sales tax                                                                                 |
|       17 | Kerala                                   | 30.08% sales tax+ Rs.1/litre additional sales tax + 1% cess                                   | 22.76% sales tax+ Rs.1/litre additional sales tax + 1% cess                                   |

|   Sr. No | State                                    | Petrol                                                                                                                                                                     | Diesel                                                                                                                                                 |
|----------|------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------|
|       18 | Ladakh                                   | 24% MST+ Rs.5/Litre employment cess, Reduction of Rs.2.5/Litre                                                                                                             | 16% MST+ Rs.1/Litre employment cess , Reduction of Rs.0.50/Litre                                                                                       |
|       19 | Lakshadweep                              | Nil                                                                                                                                                                        | Nil                                                                                                                                                    |
|       20 | Madhya Pradesh                           | 33%VAT + Rs.4.5/litre VAT+1%Cess                                                                                                                                           | 23% VAT+ Rs.3/litre VAT+1% Cess                                                                                                                        |
|       21 | Maharashtra - Mumbai, Thane &Navi Mumbai | 26% VAT+ Rs.10.12/Litre additional tax                                                                                                                                     | 24% VAT+ Rs.3.00/Litre additional tax                                                                                                                  |
|       22 | Maharashtra (Rest of State)              | 25% VAT+ Rs.10.12/Litre additional tax                                                                                                                                     | 21% VAT+ Rs.3.00/Litre additional tax                                                                                                                  |
|       23 | Manipur                                  | 36.50% VAT                                                                                                                                                                 | 22.50% VAT                                                                                                                                             |
|       24 | Meghalaya                                | 20% or Rs15.00/Litre- whichever is higher (2% surcharge leviable only on advalorem tax)                                                                                    | 12% or Rs9.00/Litre- whichever is higher (2% surcharge leviable only on advalorem tax)                                                                 |
|       25 | Mizoram                                  | 25% VAT                                                                                                                                                                    | 14.5% VAT                                                                                                                                              |
|       26 | Nagaland                                 | 25% VAT or Rs. 16.04/litre whichever is higher +5% surcharge + Rs.2.00/Litre as road maintenance cess                                                                      | 16.50% VAT or Rs. 10.51/litre whichever is higher +5% surcharge + Rs.2.00/Litre as road maintenance cess                                               |
|       27 | Odisha                                   | 32% VAT                                                                                                                                                                    | 28% VAT                                                                                                                                                |
|       28 | Puducherry                               | 26% VAT                                                                                                                                                                    | 17.75% VAT                                                                                                                                             |
|       29 | Punjab                                   | Rs.2050/KL (cess)+ Rs.0.10 per Litre (Urban Transport Fund) +24.79% VAT+10% additional tax on VAT                                                                          | Rs.1050/KL (cess) + Rs.0.10 per Litre (Urban Transport Fund) + 15.94% VAT+10% additional tax on VAT                                                    |
|       30 | Rajasthan                                | 36% VAT+Rs 1500/KL road development cess                                                                                                                                   | 26% VAT+ Rs.1750/KL road development cess                                                                                                              |
|       31 | Sikkim                                   | 25.25% VAT+ Rs.3000/KL cess                                                                                                                                                | 14.75% VAT + Rs.2500/KL cess                                                                                                                           |
|       32 | Tamil Nadu                               | 15% + Rs.13.02 per litre                                                                                                                                                   | 11% + Rs.9.62 per litre                                                                                                                                |
|       33 | Telangana                                | 35.20% VAT                                                                                                                                                                 | 27% VAT                                                                                                                                                |
|       34 | Tripura                                  | 25% VAT+ 3% Tripura Road Development Cess                                                                                                                                  | 16.50% VAT+ 3% Tripura Road Development Cess                                                                                                           |
|       35 | Uttar Pradesh                            | 26.80% or Rs 18.74/Litre whichever is higher                                                                                                                               | 17.48% or Rs 10.41/Litre whichever is higher                                                                                                           |
|       36 | Uttarakhand                              | 25% or Rs 19 Per Ltr whichever is greater                                                                                                                                  | 17.48% or Rs Rs 10.41 Per Ltr whichever is greater                                                                                                     |
|       37 | West Bengal                              | 25% or Rs.13.12/litre whichever is higher as sales tax+ Rs.1000/KL cess- Rs.17/KL exemption - Rs 1000/KL sales tax rebate (20% Additional tax on VAT as irrecoverable tax) | 17% or Rs.7.70/litre whichever is higher as sales tax + Rs 1000/KL cess - Rs 1000/KL sales tax rebate (20% Additional tax on VAT as irrecoverable tax) |