Paying a ‘bomb’ for something that can be available at a reasonable rate is what is annoying Indians currently across India. A litre of petrol almost touching Rs. 100 when the crude oil price is trailing down is beyond the cognizance of the Indian consumers especially when almost every individual is merely trying to survive in the post lockdown almost-existing-somehow times.
Here we share few shocking as well as interesting facts that has led to the surge in the petrol prices in India –
It is not the Base Price But the Taxes With It that is Making You Pay More
The break up of any Petrol bill goes this way –
- Base Price
- Price Charged to Dealers
- Excise Duty (by Central Govt.)
- Dealer Commission
- VAT (by State Govt.)
Recently in Delhi, the total bill for a liter of petrol turned out to be Rs. 89.29 for a base price of Rs. 31.82.
As a Consumer, We Pay More than 60% Taxes While Purchasing a Liter of Petrol
Going by the above difference between the base price and the final retail price, it is indeed a fact that we pay more than 60% taxes every time we purchase a liter of petrol despite a dig in the crude oil prices.
In 2020, India Became the Country With the Highest Taxes on Fuel in the World
Hardly a year ago, India with 69% taxes on fuel became the top country to charge it’s people with the highest tax on fuel. The petrol price in India has been on an increasing mode ever since despite the dip in crude prices.
While the Current Excise Duty is Rs. 32.98/liter, in the Year 2014 it was Only Rs. 9.48/liter
Before the Narendra Modi government took over the Excise Duty on Petrol was merely Rs. 9.48/liter and fast forward today the excise duty on petrol is a whooping Rs. 32.98/liter. In less than 7 years, the tax figure just got tripled.
When Petrol Price Per Barrel was $99 the Price was Rs 71/l in May 2013 and now When the Barrel Price is $62, the Petrol Price in India is Rs. 100/l
In May 2013, when the barrel price was $99.37, the per liter price of petrol was Rs. 71.13/l, in May 2014 when the barrel price was $105.71, the petrol price was Rs. 71.41 and when now the barrel price is $62, the petrol price in India is Rs. 100/l.
The Petrol Price in Bhutan Is Half that of India Despite India being their Supply
The Petrol price in Bhutan was INR 50 when India hit the INR 100/l mark. Interestingly, India supplies Petrol to Bhutan
A 2018 RTI on Petrol Prices Revealed a Shocking Details
A RTI filed by Ludhiana based RTI activist Rohit Suberwal in 2018 revealed a shocking fact. Well, based on the reply back then, it was noted that India supplies Petrol to 15 countries at Rs. 34/l but the Indians got the same petrol at double price.
These were some of the facts we wanted to share about the increasing petrol price in India – Do let us know what are your views on the surge and the petrol reaching the Rs. 100/l benchmark.