Centre rules out any proposal of fuel duty cut

The Modi government is not considering any proposal to cut the duties on petrol and diesel even as global crude prices hover around multi-year highs of $85 per barrel, finance ministry officials said.

Ministry officials said revenue considerations far outweigh the benefits of an excise duty cut and any decision to slash duties will be politically driven.

A one rupee cut in excise duty on fuel will cost the central exchequer almost Rs 14,000 crore annually, which the government cannot afford at a time growth needs a push.

Price hikes

Petrol and diesel prices on Thursday were hiked for the third consecutive day that took pump rates across the country to record high levels.