NEW DELHI, June 11: The Centre has waived excise duty on various ethanol-blended petrol variants in a bid to promote cleaner fuels and encourage greater adoption of ethanol-based energy sources, according to a notification issued by the Finance Ministry.
The exemption covers E22, E25, E27 and E30 grades of petrol. The ministry said excise duty on petrol containing 22 per cent, 25 per cent, 27 per cent and 30 per cent ethanol blend will now be ‘nil’.
The move is aimed at incentivising consumers to shift towards ethanol-blended fuels as part of the government’s broader strategy to reduce dependence on conventional fossil fuels and strengthen energy sustainability.
The decision comes at a time when petrol and diesel prices have risen by nearly Rs 7.50 per litre in the second half of May.
Earlier in March, the government had cut excise duty on petrol and diesel by Rs 10 per litre, foregoing more than Rs 1 lakh crore in annual revenue. The reduction was intended to shield domestic consumers from the impact of rising global crude oil prices amid the conflict in West Asia. (Agencies)
