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'After losing 14 bypolls': Congress says petrol, diesel duty cut not Diwali gift, but ‘jumla’
"Modi ji, Nation doesn't need jumlas. Roll back the draconian tax hike!" Randeep Surjewala said.
Congress spokesperson Randeep Singh Surjewala on Wednesday said the nation does not need jumlas as the Centre decided to reduce the central excise duty of ₹5 on petrol and ₹10 on diesel, a day before Diwali. "In year 2021, prices of petrol were hiked by ₹28 and diesel by ₹26 per litre. After losing 14 bye-elections and 2 Lok Sabhas, reducing the petrol-diesel price by ₹5 and ₹10 is tom-tommed as 'Diwali gift' of Modi Ji! Hey Ram..." Surjewala tweeted.
"In May 2014, price of petrol was ₹71.41, diesel was ₹55.49 but crude oil was $105.71 per barrel. Crude oil is $82 per barrel today. When will the prices equate year 2014?" Surjewala said.
Comparing the excise of petrol and diesel in the Modi government with that of the Congress government, Surjewala said the excise duty on petrol was ₹9.48 litre on petrol and ₹3.46 litre on diesel. After the reduction announced on Wednesday, the excise duty on petrol is ₹27.90 per litre and 21.80 per litre of diesel.
"Modi ji, Nation doesn't need jumlas. Roll back the draconian tax hike!" he wrote.
"Government of India has taken a significant decision of reducing Central Excise Duty on petrol and diesel by ₹5 and ₹10 (per litre) respectively from tomorrow. Prices of petrol and diesel will thus come down accordingly," the finance ministry said in a statement.
This is the highest-ever reduction in excise duty and rolls back a part of the ₹13 and ₹16 per litre increase in taxes on petrol and diesel effected between March 2020 and May 2020 to avoid passing on to consumers the sharp fall in international oil prices, reports said.
Based on April to October consumption numbers, the loss of revenue to the government due to the excise duty cut will be ₹8,700 crore per month. This totals to an annual impact of over ₹1 lakh crore, industry sources said. For the remainder of the current fiscal, the impact would be ₹43,500 crore, a PTI report said.
Trinamool spokesperson and MP Derek O'Brien also criticised the announcement and said the excise duty of petrol was increased by 65% last year, while now the decrease amounts to 15%. "Between April to September 21, government's collection from excise on petrol rose 33% compared to last year. Collection of excise is 79% more than pre-covid levels," Derek O Brien tweeted.
