Union Finance Minister Arun Jaitley could propose a reduction in excise duty levied on petrol and diesel in the upcoming budget.
Once the proposal comes into effect, petrol price will become cheaper by up to Rs 2 per litre and diesel price will go down by up to Rs 3 per litre.
Since the Modi government took power in 2014, excise on petrol has risen by Rs 11.77 per litre and Rs 13.47 per litre on diesel sales.
According to Ministry of Petroleum and Natural Gas, the crude oil price may go up in coming days and thus keeping this in mind, the government may propose slashing excise duty.
As compare to May 2014, crude oil prices have nearly halved but petrol and diesel sales price haven't moved much. In May 2014, crude oil was trading at USD 105 per barrel while currently it is trading in the range of USD 55 per barrel.
Since May 2014, the Modi government has hiked petrol, diesel price ten times.
