Misnomer to marketing campaign that gasoline costs are at all-time excessive: Dharmendra Pradhan

Image Source : PTI (FILE) Misnomer to marketing campaign that gasoline costs are at all-time excessive: Dharmendra Pradhan
Petroleum Minister Dharmendra Pradhan on Wednesday stated petrol and diesel costs are ruled by a global worth mechanism and it was a misnomer to marketing campaign in such a manner that gasoline costs are at an all-time excessive.

“In the last 300 days, there have been around 60 days of increase in price (and) in around 7 days in petrol and 21 days in diesel we have decreased the price. And for almost 250 days we have not increased or decreased prices. So, it’s a misnomer to campaign in that way that it is all-time high,” he advised Rajya Sabha.

Pradhan stated worldwide crude oil worth is an indicator however worldwide product worth is the benchmark.

“In our country state governments and the union government are careful about their tax collection because everybody has their own welfare commitment, developmental priorities for that they need some resources from this route. Petroleum price tax collection is a proven and substantial collection for state governments, the union government,” Pradhan stated.

The minister knowledgeable the House that costs of petrol and diesel have been made market-determined in June 2010 and October 2014, respectively. Since then, the Public Sector Oil Marketing Companies (OMCs) have taken applicable choices on pricing of petrol and diesel consistent with worldwide product costs and different market situations.

The OMCs haven’t solely elevated but in addition decreased the costs of petrol and diesel consistent with adjustments in worldwide costs and rupee greenback trade price, he stated.

With an goal to scale back the costs of petrol and diesel and provides reduction to customers, Pradhan stated the central authorities decreased the Central Excise responsibility on petrol and diesel by Rs 2 per litre with impact from October 4, 2017.

The central authorities additional decreased the Central Excise responsibility on petrol and diesel by Rs 1.5 per litre with impact from October 5, 2018 and Public Sector OMCs additionally decreased Rs 1 per litre to lower the general worth of petrol and diesel. The central authorities additionally requested the state governments to make a discount of Rs 2.50 per litre in VAT imposed by them on petrol and diesel, he stated, and added 18 state governments and one union territory had decreased VAT on petrol and diesel.

READ MORE: Petrol, diesel costs at recent highs; petrol crosses Rs 87 mark in Delhi
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