Minister of Petroleum and Natural Gas of India Sri Hardeep Singh Puri defended the taxes levied on fuel (Petrol and Diesel). He also supported the notion by adding that taxes on fuel support welfare services. Puri mentioned that it is only through such taxes that India has administered 1 billion vaccines, supported around 90 crore people with meals & other basic amenities, and could make 8 crore gas refills available under the Ujjawala scheme.

Further strengthening his motion, the Union Minister added that the taxes were collected to support the construction of roads, houses, and hospitals for the below poverty line dwellers.

Puri delivered these thoughts at the valedictory ceremony of the India Energy Forum Industry Event.

Increased fuel price: Mumbai gets the worst hit!

India witnessed hiked prices of petrol and diesel, since the last week of September. Metros of the country viz Mumbai, Delhi, Kolkata, and Chennai had been sharply hit by fuel-price rise. The worst-hit metro is Mumbai. Petrol is at INR 113.12 per liter and diesel is at INR 104 per liter in Mumbai. Invariably petrol is priced crossing the INR 100 figure across all the four metros of India. Petrol prices include a tax component of 54%, and diesel has this at 48%.

Daily commuters to the office and other automotive users have to bear the brunt of this price rise as neither the centre nor the states are ready to abandon this revenue-generating avenue.

The year 2020 and the tale of hiked prices

The year 2020 brought many hurdles to hamper human life. Starting with Covid-19 and including escalated petrol and diesel prices in the year 2020. Petrol prices got raised by INR 20.41 a litre and diesel by INR 20.91. April 2020, the period when BS6 emission norms entered the regulation’s arena, petrol prices got raised by INR 37.84 and Diesel by INR 38.81 per litre.

Global crude oil prices rise to impact the economy of consuming nations

Currently, there is a worldwide oil price rise scenario due to increased demands, production halting decisions by OPEC and OPEC+. Also, decline in US production supply due to the outage of a hurricane. The price rise should not come in the way of the economic development of paying nations. Consumption capacity should be planned well ahead in advance by the countries that consume oil and natural gas to have sustained overall growth & global green economic recovery and development, said Puri.

India is on a spree to reduce energy imports dependency!

India strongly wants to reduce the dependency on imports for its oil and natural gas requirements. Started on a spree to explore the sedimentary basins and has explored 6/26 such sources, India is seeking international partners to collaborate in this project.

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