Heavy taxes are included in the current prices of petrol and diesel.
If you fill petrol in your car or motorcycle, you end up paying over 95 rupees in tax per liter on both petrol and diesel.
For example, if you pay 1,022.52 rupees for 4 liters of petrol at a pump, the actual base price is only 641.72 rupees.
This includes taxes of 380.80 rupees — meaning 95.02 rupees per liter is just tax, including a 70 rupee levy.
Also included are a distribution margin of 7.87 rupees, oil companies’ profit of 8.64 rupees, a freight margin of 5.33 rupees, and an exchange adjustment of 3.18 rupees. Similarly, the price for four liters of diesel is 1,034 rupees.
Out of the amount you paid, the base price of diesel was only 672.08 rupees. The remaining 361.76 rupees was entirely tax.
This means the per-liter price of diesel is 258.64 rupees, out of which 90.44 rupees are taxes. If taxes are removed, diesel would cost only 168.02 rupees per liter.
