Govt to consider excise cut on petro products

Union Petroleum Minister Ram Naik on Tuesday promised an “encouraging reduction” in the petrol and diesel prices that went up by 27 paise per litre. The reduction would be considered as soon as the Finance Minister Jaswant Singh returns from abroad.

Naik, at a news conference here said that the oil prices were proposed to be reduced by slashing the excise duty. As the oil price had gone up to $30 per barrel in the last few months, the prices had been jacked up by the oil companies. The government which earns more excise duty on account of the hike would consider reducing it to soften the blow on the consumers, he explained.