Lok Sabha Question No. 2650 (UNSTARRED), answered on 2023-03-16
Subject: GST on Petroleum Products
Ministry: PETROLEUM AND NATURAL GAS
Asked by: Manish Tewari, Anto  Antony

## LOK SABHA UNSTARRED QUESTION NO. 2650

## TO BE ANSWERED ON 16 MARCH, 2023

## GST on Petroleum Products

## 2650. SHRI MANISH TEWARI: SHRI ANTO ANTONY:

## पेोलयम और ाक ृतक गैस मंी

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

- (a) the list of every hike in prices of petrol and diesel since 2014 along with the corresponding prices of international crude oil for those dates;
- (b) the total tax revenues generated from excise duties on petroleum, diesel and other petroleum products since 2014, year-wise; and
- (c)  whether  the  Government  has  initiated  negotiations  with  the  States  after  claiming  that  it  is waiting on approval from the States for the imposition of GST on petroleum products and if so, the details thereof?

## ANSWER पेोलयम और ाक ृतक गैस मंालय म राय मंी

## ( ी रामेश ् वर तेल )

## MINISTER OF STATE IN THE MINISTRY OF PETROLEUM AND NATURAL GAS (SHRI RAMESWAR TELI)

- (a) & (b): Prices of petrol and diesel in the country have been market-determined 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. Effective 16 June, 2017, daily pricing of petrol and diesel has been implemented in the entire country.

The yearly average international prices of Indian basket of Crude oil since 2014-15 are given below:

| Year                      |   Average Indian Basket (USD/Barrel) |
|---------------------------|--------------------------------------|
| 2014-15                   |                                84.16 |
| 2015-16                   |                                46.17 |
| 2016-17                   |                                47.56 |
| 2017-18                   |                                56.43 |
| 2018-19                   |                                69.88 |
| 2019-20                   |                                60.47 |
| 2020-21                   |                                44.82 |
| 2021-22                   |                                79.18 |
| 2022-23 (Till 09.03.2023) |                                94.32 |

Source: Petroleum Planning and Analysis Cell

The crude oil price in USD/Barrel terms does not reflect the depreciation of INR/USD exchange rate.

The details of contribution to Central Exchequer from excise duty on petroleum products since 2014 are given below:

(Rs. in Crore)

| Year                         | Contribution to Central Exchequer from excise duty on petroleum products   |
|------------------------------|----------------------------------------------------------------------------|
| 2014-15                      | 99,068                                                                     |
| 2015-16                      | 1,78,477                                                                   |
| 2016-17                      | 2,42,691                                                                   |
| 2017-18                      | 2,29,716                                                                   |
| 2018-19                      | 2,14,369                                                                   |
| 2019-20                      | 2,23,057                                                                   |
| 2020-21                      | 3,72,970                                                                   |
| 2021-22                      | 3,63,305                                                                   |
| 2022-23 (P) (April-Dec 2022) | 2,03,171                                                                   |

The above is based on data provided to Petroleum Planning and Analysis Cell (PPAC) by 15 major oil & gas companies.

- (P) - Provisional
- (c): The GST Council in its 45 th meeting held on 17 th September, 2021 had considered the inclusion of Petrol/Diesel and other petroleum products under the GST regime but the matter was deferred  by  the  Council  till  larger  deliberations  on  account  of  its  heavy  repercussions  on  the exchequer. The issue has not been taken up by the Council as an agenda item for any further deliberation subsequent to the said meeting.

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