Govt's excise duty cut on fuel a "political move": Congress MP Rajiv Shukla

Mar 27, 2026

New Delhi [India] March 27, : Congress MP Rajiv Shukla on Friday termed the Centre's decision to slash excise duty on petrol and diesel as a "political move" aimed at gaining advantage.
Speaking on the issue, Shukla said, "I think this is entirely a political move and an attempt to gain political advantage, in which the burden will be recovered from the public in other ways."
Meanwhile, the decision drew sharp reactions from other Congress leaders.
Congress leader Pawan Khera questioned the claims made by the Narendra Modi government that the announced excise duty cuts on petrol and diesel provide relief for the common public, arguing that it benefits oil marketing companies instead of consumers. He said that the consumers will continue to pay unchanged retail prices at fuel stations.
Speaking to ANI, Khera asked for whom this 'favour' was being bestowed. He further pointed out that it pertained to what the government calls a "Special Additional Excise Duty", which implied that it was "superfluous".
"For whom was it reduced? Was it reduced for you or for me? If you and I go out right now and take our car to get petrol filled, will we pay less? We will still pay the same amount we were paying before. So, on whom is this 'favour' being bestowed, claiming that they have reduced it?" he asked.
"This is called 'Special Additional Excise Duty'. The very name implies that it is superfluous. This unnecessary excise (duty) that you had imposed on us, you are reducing it for the Oil Marketing Companies (OMCs), not for us. We will still pay the same as we were paying," Khera added.
The Congress leader also accused the government of repeatedly increasing excise duties over the years. He claimed that in the past eleven and a half years, excise duty had been raised 12 times, generating massive revenues for the Centre.
Congress MP Sukhdeo Bhagat slammed the Narendra Modi government, saying that it didn't reduce prices when the oil prices had gone down in the international market. He claimed that India doesn't have storage capacity, and the country will suffer due to the government not finding an alternative.
Reacting to the move, Bhagat said, "When the oil prices per barrel had gone down in the international market, you (the government of India) had not reduced the prices in the country. If the prices are affected by the international market, then now is Modi ji controlling the prices? Both things are being said by the government."
According to the government, the excise duty on petrol has been reduced to 3 per litre, while it has been brought down to zero for diesel. Additionally, a windfall tax of 21.5 per litre has been imposed on diesel exports to improve domestic availability.
Officials have maintained that the move is aimed at cushioning the impact of global volatility, particularly amid rising geopolitical tensions in West Asia that have disrupted key oil supply routes, including the Strait of Hormuz.
Earlier, the government also assured that fuel supplies remain stable across the country, with adequate stocks available and refineries operating at high capacity.