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Consumers still pay massive Rs91.36 in total taxes on each liter of petrol, even though the government has made efforts to lessen the impact of rising fuel costs.
Details revealed on Monday showed that the petroleum products were being sold at their current price after the addition of exorbitant taxes and other fees like petroleum development levy, rent, distribution costs, and dealer margins. The levy is added to the base price of Rs161 per liter.
Similarly, a tax of Rs87.49 was being charged against the actual Rs166 per liter price of diesel.
According to the documents, a tax of Rs71.83 per liter was levied on petrol after refining, while the ex-refinery price of petrol was Rs181.70 per liter. A tax of Rs19.53 per liter has been levied on petrol before refining.
Similarly, diesel after refining has been taxed at Rs67.96 per liter while the ex-refinery price of diesel stood at Rs190.21 per liter.
It may be mentioned here that the government reduced the prices of petrol and high speed diesel by Rs9 per liter after the currency gained some lost ground against the US dollar.
Every two weeks, the country revises the cost of petroleum products, and during the past year, the rate has gone up to meet the stringent requirements set by the International Monetary Fund (IMF) for a bailout package.
It should be noted that inflation reached historic highs as a result of rising oil prices, supply chain issues around the world, and the global economic crisis, but for the first time in several months, it declined to 29.4% in June.