Centre hikes excise duty on petrol and diesel by Rs 2 per litre, no increase in retail prices

"The excise duty on petrol was increased to Rs 13 per litre and that on diesel to Rs 10," the order said.

However, the PSU oil marketing companies (OMCs) have said that there will be no increase in the retail prices of petrol and diesel.

"PSU Oil Marketing Companies have informed us that there will be no increase in retail prices of petrol and diesel, subsequent to the increase effected in Excise Duty Rates today," the ministry said.

Currently, the government charges excise duty of Rs 19.90 per litre on petrol. From Tuesday, it is going to be increased to Rs 21.90 a litre. Similarly, the current excise duty on diesel is Rs 15.80 per litre, and it will increase to Rs 17.80 per litre effective Tuesday.

The retail selling price of petrol in Delhi is Rs 94.77 per litre, and diesel is being sold for Rs 87.67 per litre.

The increased excise duty is likely to be adjusted against the cut in petrol and diesel prices that was warranted because of a fall in international oil prices.

Meanwhile, crude oil futures on Monday went lower by Rs 134 to Rs 5,186 per barrel in futures trade as participants trimmed their positions, tracking weak demand in the overseas market.

On the Multi Commodity Exchange, crude oil for May delivery declined Rs 134 or 2.52 per cent to Rs 5,186 per barrel in 3,582 lots.

Analysts said the prices were affected following participants offloading their holdings amid weak global cues.

With agency inputs