Fuel prices continued to skyrocket yet again on Sunday. Petrol, diesel prices were hiked by 28 paise per litre and 18 paise per litre respectively in Delhi. The revised prices of petrol and diesel in Delhi stood at Rs 81.91/litre and Rs 73.72/litre. Mumbai also witnessed hike in fuel prices. The revised rates of petrol and diesel in the financial capital stood at Rs 89.29/litre (hike by 28 paise/litre) and Rs 78.26/litre (hike by 19 paise/litre.
The skyrocketing fuel prices have severely affected the household budget of the common man and Opposition has also been targeting the government over the issue. However, the BJP-led NDA government remains non-committal over slashing the rates.
The Centre currently levies a total excise duty of Rs 19.48 per litre of petrol and Rs 15.33 per litre on diesel. On top of this, states levy Value Added Tax (VAT) -- the lowest being in Andaman and Nicobar Islands where 6 per cent sales tax is charged on both the fuels
Mumbai has the highest VAT of 39.12 per cent on petrol, while Telangana levies the highest VAT of 26 per cent on diesel. Delhi charges a VAT of 27 per cent on petrol and 17.24 per cent on diesel
The Central government had raised excise duty on petrol by Rs 11.77 a litre and that on diesel by 13.47 a litre in nine instalments between November 2014 and January 2016 to shore up finances as global oil prices fell, but then cut the tax just once in October last year by Rs 2 a litre.
Earlier on Friday PM Modi held talks with Finance Minister Arun Jaitley to review the economic scenario. PM Modi also held another economic review meeting with key policy makers on Saturday to discuss possible interventions by the government to address the macroeconomic challenges arising out of the depreciating rupee and steep rise in fuel prices.