After six consecutive cuts in petrol prices and two in diesel, the government on Thursday hiked the excise duty on petrol and diesel by Rs.1.50 per litre each.
But, the hike is not expected to burden consumers as oil companies plan to adjust the excise hike with a reduction in retail rates that was due this weekend.
“As of now oil companies will be absorbing the hikes...we won’t be passing these on to the consumers,” Indian Oil Corporation spokesperson Siddharth Mukherjee told The Hindu.
The government hiked the excise duty on unbranded petrol from Rs.1.20 per litre to Rs.2.70 per litre, while that on unbranded diesel was hiked from Rs.1.46 a litre to Rs.2.96.
