Fuel Price Debate Intensifies as Opposition Questions Centre’s Excise Duty Cut

The Congress party has strongly criticised the Narendra Modi-led central government following its decision to reduce excise duty on petrol and diesel by ₹10 per litre each, while alleging that the move has not translated into any immediate relief for consumers, as retail fuel prices at pumps remain unchanged.

According to Congress leaders, including Pawan Khera, the excise duty reduction benefits oil marketing companies rather than the general public. He argued that consumers continue to pay the same prices despite the tax cut, questioning the government’s claim that the measure provides relief. Khera also pointed out that excise duties on fuel have been increased multiple times over the past 11 years, stating that the current reduction does not constitute a meaningful concession to citizens.

Congress general secretary Jairam Ramesh further alleged that the timing of the decision was politically motivated, suggesting it was intended to influence upcoming assembly elections in Kerala, Tamil Nadu, West Bengal, Assam, and the Union Territory of Puducherry. He noted that in previous instances of declining global crude oil prices, corresponding reductions in domestic fuel prices were not passed on to consumers, and claimed that the present decision was driven by electoral considerations.

Karnataka Deputy Chief Minister D.K. Shivakumar also echoed similar concerns, alleging that the central government’s move was aimed at influencing electoral outcomes. He added that the issue would be taken up publicly, while referring to recent price adjustments by private oil companies.

Meanwhile, the central government defended the decision, stating that the excise duty cut is intended to shield consumers from global oil price volatility. Union Petroleum and Natural Gas Minister Hardeep Singh Puri said the government chose to absorb the financial impact rather than pass higher fuel costs on to citizens. He noted that India, which imports a significant share of its crude oil and natural gas requirements, remains vulnerable to international price fluctuations, particularly amid ongoing geopolitical tensions affecting supply routes.

In addition, Jammu and Kashmir Chief Minister Omar Abdullah called for diplomatic intervention to help bring an end to the ongoing conflict in Iran, urging the Prime Minister to use international channels and influence to restore peace in the region.