Indian Government Reduces Windfall Tax, Fuel Prices Remain Unchanged

The Indian government has announced a reduction in the windfall tax levied on petroleum products, specifically reducing the Special Additional Excise Duty (SAED) on petrol to zero. However, this move has not yet impacted domestic retail fuel prices, with rates remaining largely unchanged across the country.

Petrol is currently retailing at ₹102.12 per litre in Delhi, while diesel is priced at ₹95.20 per litre, according to the latest price revision issued by state-owned oil marketing companies on Sunday, August 16.

The reduction in windfall tax is expected to provide relief to oil companies, but it remains unclear when this will translate into lower fuel prices for consumers. Global crude prices continue to be a key factor influencing fuel pricing trends in India, with Brent crude trading at around $88.52 per barrel and WTI crude hovering near $82.40 per barrel.