A heavy load of multiple taxes keeps petrol and diesel prices at an all-time high

A highly taxed commodity

According to a report by IANS, oil companies may have provided relief to consumers by keeping the pump prices of petrol and diesel static for the past nine days even on rising global oil prices, but it is the heavy load of taxes that has kept the two auto fuels price closer to all-time high levels now with the pandemic-affected revenue stream preventing the government from considering a duty cut.

Paying through the nose

Taxes and duties now account for 62.5 percent of the retail price of petrol and 57.77 per cent of the retail price of diesel in the capital at current level of pump prices. The taxes component has fallen over the fortnight as the global price of petrol and diesel has also risen in the past few days.