Govt Waives Excise Duty on Ethanol-Blended Petrol
New Delhi: The government has waived excise duty on ethanol blended petrol varieties, a notification by the finance ministry said. The waiver applies to E22, E25, E27 and E30 petrol variants.
In the notification, the ministry said that the special consumption tax on 22 percent, 25 percent, 27 percent and 30 percent ethanol blended gasoline will be ‘zero’.
The special consumption tax exemption aims to encourage customers to switch to ethanol-blend gasoline.
This move comes at a time when petrol and diesel prices increased by around Rs 7.50 per liter in the second half of May.
The government in March reduced excise duty on petrol and diesel by Rs 10 per litre, cutting over Rs 1 lakh from annual revenue. This was intended to protect domestic customers from the rise in global crude oil prices during the West Asian war.
