Within a day of the one-off excise duty cut and PSUs subsidising fuel, petrol and diesel prices are on the rise again and have hit a three week high.
Petrol and diesel prices were cut by a minimum Rs 2.50 on October 5 when the Government’s only second cut in excise duty of Rs 1.50 per litre and state-owned fuel retailers providing a Rs 1 per litre subsidy came into effect. In BJP-ruled states, the reduction was higher as they matched the cut with a similar reduction local sales tax or VAT.