With the introduction of petrol and diesel under the purview of GST, the people who were expecting a reduction in its prices have suffered a tremendous setback. Due to the rise in the prices of crude oil in the international market, there is a possibility of further increase in the retail prices of petrol and diesel in the country. In the beginning of August, there was a fall in the prices of crude oil in the international market, but from the last week of this month, it started rising continuously.
The 45th meeting of the GST Council was expected to bring relief to the common people, but there was also disappointment. Petrol and diesel were discussed in the council meeting, but a decision could not be taken in its favor. Finance Minister Nirmala Sitharaman said after the meeting that the GST Council believes that this is not the time to bring petroleum products under the ambit of the Goods and Services Tax (GST). After the 45th meeting of the GST Council, Nirmala Sitharaman also said that the GST rate on biodiesel mixed with diesel has been reduced from 12 percent to five percent.
According to the news of Hindustan, there has been no change in the prices of petrol and diesel for 12 days, but now the international prices have started rising again. Petrol in Delhi is currently priced at Rs 101.19 per liter and diesel at Rs 88.62 per liter. In August this year, the average international crude oil price fell by more than $3 per barrel compared to July. This happened amid economic data from the US and China and restrictions on movement in Asia due to the rapidly spreading delta variant of the corona virus. For this reason, the oil marketing companies had cut prices marginally from July 18 onwards. Retail prices of petrol and diesel in Delhi were reduced by Rs 0.65 per liter and Rs 1.25 per liter respectively. The last price cut was done on September 5.