New Delhi [India], March 27 : Union Parliamentary Affairs Minister Kiren Rijiju on Friday praised the Centre's decision to reduce the excise duty on petrol and diesel amid the West Asia crisis, saying that the step shows how to act in the interest of the people during difficult times.
Speaking to the reporter here, Rijiju thanked the Prime Minister, saying that the move was not easy considering the geo-political scenario, with the conflict in West Asia triggering a global disruption in the import and export of fuel supplies.
"On behalf of the public, I would like to thank the Prime Minister for taking such a big step in this difficult time. This was not an easy step to take, yet he has shown how to act in the interest of the public. Our MPs will also welcome this step and thank the PM today as the Parliament reconvenes today," he said.
He further reiterated that the Prime Minister has advised against panic buying or hoarding of the fuel. Strict action will be taken against the hoarding to ensure fuel supplies remain adequate for everyone.
"The PM had clearly stated that there should be no panic buying or hoarding. In the all-party meeting, even Opposition MPs appreciated the govt in a way, and also assured that they would support the government's decisions. The state governments have been directed to take strict action against those who indulge in hoarding to ensure no shortage of gas and fuel," he added.
Rijiju's remarks come after the Central government reduced excise duty on petrol to Rs 3 per litre and brought it down to zero for diesel, as per a Gazette notification issued under the provisions of the Central Excise Act, 1944. Additionally, a windfall tax of Rs 21.5 per litre has been imposed on diesel exports.
The decision follows escalating tensions in West Asia, particularly the ongoing conflict involving the United States, Israel, and Iran, which has led to a blockade of the Strait of Hormuza crucial route that handles nearly one-fifth of the world's crude oil supply. Before the crisis, India sourced around 12-15% of its oil imports through this route.
While the duty cut is expected to ease pressure on oil marketing companies facing losses due to surging crude prices, retail prices of petrol and diesel have remained unchanged so far.
The government has maintained that fuel supplies across the country remain stable.
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