Global Oil Crisis: Sitharaman, Goyal Hail Fuel Duty Cut

New Delhi (IANS): Finance Minister Nirmala Sitharaman and Commerce Minister Piyush Goyal on Friday championed the government’s decision to slash central excise duty on petrol and diesel by ₹10 per litre. The move aims to protect Indian consumers from the “global turbulence” triggered by the ongoing West Asia crisis.

Protecting the Domestic Market

Finance Minister Sitharaman announced the reduction on X (formerly Twitter), stating the cut specifically targets domestic consumption to offset rising international prices.

Beyond price relief, the government implemented strategic curbs to secure local supply:

• Export Duties: The Centre imposed new export duties on diesel and aviation turbine fuel (ATF).

• ATF Surcharge: Authorities introduced a special additional excise duty of ₹50 per litre on ATF exports.

“This will provide protection to consumers from a rise in prices,” Sitharaman noted, emphasizing that these measures ensure domestic availability despite global supply uncertainties.

Safeguarding the “Growth Engine”

Union Minister Piyush Goyal echoed these sentiments, labeling the duty cut a “decisive step” for economic stability. He argued that prioritizing domestic supply through export curbs ensures that India’s growth remains unhindered by external shocks.

Global Context

The policy shift comes as Brent crude hovers around the $100 mark. While prices declined 5% this week, escalating conflict involving Iran and disruptions in the Strait of Hormuz—a critical energy artery—continue to threaten global markets.