Centre Raises Excise Duty on Fuel: ₹13/Litre on Petrol, ₹10/Litre on Diesel [Read Notification]

The Ministry of Finance has issued Notification No. 02/2025-Central Excise, dated 7th April 2025, revising the Special Additional Excise Duty (SAED) on petrol and diesel, marking a Rs. 2 increase in fuel taxation.

With the latest notification coming into effect from 8th April 2025, the rates now stand at Rs. 13 per litre for petrol and Rs. 10 per litre for diesel.

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The revised rates apply to:

• Motor spirit (commonly known as petrol) falling under Chapter 2710, now attracting Rs. 13 per litre.
• High-speed diesel oil, also under Chapter 2710, now taxed at Rs. 10 per litre.

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Following the issuance of Notification No. 02/2025-Central Excise, which raised the Special Additional Excise Duty to Rs. 13/litre on petrol and Rs. 10/litre on diesel, PSU Oil Marketing Companies have confirmed that retail fuel prices will remain unchanged.

In a post on X (formerly Twitter), the Ministry of Petroleum and Natural Gas (@PetroleumMin) stated:

"PSU Oil Marketing Companies have informed that there will be no increase in retail prices of #Petrol and #Diesel, subsequent to the increase effected in Excise Duty Rates today." #MoPNG

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This move signals that the increased tax burden will be absorbed by oil marketing firms for now, likely as a measure to contain inflationary pressures and avoid burdening consumers. This is the first revision of SAED rates since Notification No. 03/2022-Central Excise, which was issued on 30th June 2022.

To Read the full text of the Order CLICK HERE

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