16 June,2026 10:03 AM IST | New Delhi | mid-day online correspondent
Pic/AFP
The Central government has increased the export duty on diesel and aviation turbine fuel (ATF) while keeping the levy on petrol exports unchanged, according to a notification issued by the Ministry of Finance.
The revised rates, which come into effect from June 17, are part of the government's fortnightly review mechanism aimed at ensuring adequate domestic availability of petroleum products while responding to fluctuations in global energy markets.
Under the latest revision, the Special Additional Excise Duty (SAED) on diesel exports has been increased to Rs 14 per litre from Rs 13.5 per litre. The export duty on ATF has been raised more significantly to Rs 12.5 per litre from Rs 9.5 per litre.
However, the export levy on petrol remains unchanged at Rs 1.5 per litre.
The government has clarified that there is no change in the excise duty structure applicable to petrol and diesel sold for domestic consumption.
As a result, consumers are unlikely to see any immediate impact on retail fuel prices arising directly from the latest revision in export duties.
Officials said the changes apply only to exports and are intended to balance domestic fuel availability with prevailing international market conditions.
The export levies are reviewed every two weeks based on international prices of crude oil and refined petroleum products.
The last revision was carried out on June 1, when the government fixed the export duty at Rs 1.5 per litre on petrol, Rs 13.5 per litre on diesel and Rs 9.5 per litre on aviation turbine fuel.
According to officials, the latest increase reflects changes in global fuel price trends and market conditions observed since the previous review.
The export duties on petrol, diesel and ATF were introduced earlier this year as geopolitical tensions in West Asia triggered volatility in global energy markets.
The measures were aimed at discouraging excessive exports and ensuring sufficient domestic availability of petroleum products at a time when international crude oil prices were witnessing sharp fluctuations.
The government has maintained that the levy serves as a tool to protect domestic consumers from potential supply disruptions arising from external geopolitical developments.
The latest hike follows several revisions in recent months.
In April, the government substantially increased duties on petroleum products, including high-speed diesel. At that time, the export duty on diesel was raised sharply from Rs 21.5 per litre to Rs 55.5 per litre.
The Centre had also increased the Road and Infrastructure Cess (RIC) on diesel under provisions of the Finance Act, 2018, as part of broader measures affecting the petroleum sector.
Since then, duty rates have been adjusted periodically in line with changes in global crude oil and fuel prices.
Meanwhile, the Petroleum Ministry has assured consumers that there is no shortage of petrol, diesel, liquefied petroleum gas (LPG) or natural gas in the country.
Addressing a press briefing, Petroleum Ministry officials said fuel supplies remain stable and refineries are operating at optimal capacity. They emphasised that adequate crude oil inventories are being maintained to meet domestic demand.
The ministry urged consumers and industries to use energy responsibly and avoid unnecessary stockpiling.
Officials explained that recent supply pressures at some retail fuel stations were linked to changes in diesel procurement patterns rather than any shortage of fuel.
According to the ministry, around 42 crore litres of diesel that were previously supplied through bulk consumer channels shifted to retail outlets during May, increasing demand at public fuel stations.
To prevent inconvenience to individual consumers, the government recently introduced temporary measures restricting retail diesel purchases to 200 litres per person per day. Industrial and commercial users have been advised to source diesel through their designated consumer pumps.
The Petroleum Ministry said these measures are temporary and are expected to remain in place for approximately 90 days. Officials reiterated that fuel availability remains adequate across the country and that the latest export duty revision is aimed at safeguarding domestic supply while responding to evolving global market conditions.
(With inputs from Agencies)
