Lok Sabha Question No. 577 (UNSTARRED), answered on 2025-02-06
Subject: Decrease in Price of Imported Crude Oil
Ministry: PETROLEUM AND NATURAL GAS
Asked by: Shri Amra Ram

## LOK SABHA UNSTARRED QUESTION NO. 577 TO BE ANSWERED ON 06 FEBRUARY, 2025

## Decrease in Price of Imported Crude Oil

†577. Shri Amra Ram:

## पेट Ō ोिलयम और Ůाक ृ ितक गैस मंũी

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

- (a) the reasons for not reducing the prices of petrol and diesel despite decrease in the prices of imported crude oil for the last six months directly by linking the prices of petrol and diesel with markets; and
- (b) the respective amount of revenue collected by the Government from petrol, diesel and gas in the form of Central Duty and Cess from the year 2014 to December, 2024, year-wise?

## ANSWER

## पेट Ō ोिलयम और Ůाक ृ ितक गैस मंũालय मŐ राǛ मंũी ( ŵी सुरे श गोपी )

## MINISTER OF STATE IN THE MINISTRY OF PETROLEUM AND NATURAL GAS (SHRI SURESH GOPI)

- (a): Prices  of  petrol  and  diesel  are  market  determined  and  Public  Sector  Oil  Marketing Companies (OMCs) take appropriate decision on pricing of petrol and diesel.

Domestically, Petrol and Diesel prices have come down to Rs. 94.77 and Rs. 87.67 per litre respectively (Delhi prices) as a result of various steps taken by Government and PSU OMCs, Central Excise duty was reduced by the Central Government by a total of Rs. 13/litre and Rs. 16/litre on petrol and diesel respectively in two tranches in November 2021 and May 2022, which was fully passed on to consumers. Some State Governments also reduced state VAT rates to provide relief to citizens. In March, 2024, OMCs reduced the retail prices of petrol and diesel by Rs. 2 per litre each.

Recently  PSU  OMCs  have  carried  out  an  intra-state  freight  rationalisation.  This  has benefitted  consumers located  at  remote  areas, far  from  Petroleum  Oil  &  Lubricants  (POL) Depots in the form of reduced Petrol and Diesel prices in remote parts within the states. This initiative has also reduced the difference between the maximum and minimum retail prices of Petrol or Diesel within a state.

Government  of  India  also  took  several  other  steps  to  insulate  common  citizens  from  high international  prices,  which  included  diversifying  the  crude  import  basket,  invoking  the provisions  of  Universal  Service  Obligation  to  ensure  availability  of  petrol  &  diesel  in domestic market, increasing the blending of ethanol in petrol, etc.

- (b): The details of contribution of petroleum sector to exchequer since 2014-15 are given at Annexure.

*****

Annexure referred to in reply to Lok Sabha Unstarred Question No. 577 asked by Shri Amra  Ramto  be  answered  on  06.02.2025  regarding  'Decrease  in  Price  of  Imported Crude Oil'.

## Contribution of petroleum sector to exchequer since 2014-15

(Rs. in Crore)

| F.Y.                       | Total Contribution to Central Exchequer   | Total Contribution to State Exchequer   | Total Contribution of Petroleum Sector to Exchequer   |
|----------------------------|-------------------------------------------|-----------------------------------------|-------------------------------------------------------|
| 2014-15                    | 1,72,065                                  | 1,60,554                                | 3,32,620                                              |
| 2015-16                    | 2,54,297                                  | 1,60,209                                | 4,14,506                                              |
| 2016-17                    | 3,35,175                                  | 1,89,770                                | 5,24,945                                              |
| 2017-18                    | 3,36,163                                  | 2,06,863                                | 5,43,026                                              |
| 2018-19                    | 3,48,041                                  | 2,27,591                                | 5,75,632                                              |
| 2019-20                    | 3,34,315                                  | 2,21,056                                | 5,55,370                                              |
| 2020-21                    | 4,55,069                                  | 2,17,650                                | 6,72,719                                              |
| 2021-22                    | 4,92,303                                  | 2,82,122                                | 7,74,425                                              |
| 2022-23                    | 4,28,067                                  | 3,20,651                                | 7,48,718                                              |
| 2023-24                    | 4,32,394                                  | 3,18,762                                | 7,51,156                                              |
| 2024-25 (Apr-Sep 2024) (P) | 1,83,319                                  | 1,55,866                                | 3,39,185                                              |