The unprecedented increase in excise duty on petrol and diesel by Rs 10 and Rs 13 per litre on Tuesday may not be the end of the government’s exercise to fleece the two petroleum products for additional revenue this year.
Sources indicated that that another Rs 3-6 per litre increase in excise duty on petrol and diesel may come midway during the year if government felt the need to mobilise more resources to finance additional economic recovery packages to fight Covid-19 related disruptions.
This level of increase could provide government additional revenue to the tune of Rs 60,000 crore for full year.
