Centre slashes ATF and petrol export duties, keeps domestic fuel taxes steady
The revised rates came into effect from Saturday, according to a finance ministry notification issued late Friday.
Business Today Desk
- Aug 15, 2026,
- Updated Aug 15, 2026 11:57 AM IST
Offering some relief after recent volatility in energy markets, the government has cut the windfall gains tax on exports of aviation turbine fuel and automobile fuels, while keeping excise duty rates on petrol and diesel for domestic consumption unchanged. The revised rates came into effect from Saturday, according to a finance ministry notification issued late Friday.
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Revised export duty rates
Under the changes, the windfall gains tax on exports of aviation turbine fuel has been cut by ₹2.5 per litre to ₹19.5 per litre. On diesel exports, the government has retained the special additional excise duty at ₹24 per litre, while reducing the road and infrastructure cess of ₹1.5 per litre to nil. The windfall gains tax on petrol exports has also been brought down to nil.
No change in domestic fuel duties
The government said there is no change in the existing excise duty rates on petrol and diesel meant for domestic consumption. It said the tax rates are revised every fortnight on the basis of the average international prices of crude oil, petrol, diesel and aviation turbine fuel prevailing since the last review.
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Petrol, diesel prices today
As of August 15, petrol and diesel rates across India remained steady despite global energy markets being on the edge. Petrol sold for ₹102.12 per litre in Delhi and ₹111.2 per litre in Mumbai. Diesel, on the other hand, remained below ₹100 per litre across most metro cities.
Background to the latest revision
The latest revision follows earlier changes in export duties on petroleum products as global crude oil prices remained volatile amid tensions linked to Iran. Earlier this week, the Centre had raised export duties on petrol, diesel and aviation turbine fuel, while previous revisions had also adjusted these levies in response to changes in refining margins and international prices.
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The government had first imposed excise duty on aviation turbine fuel and retail fuel exports from Mar. 27 to curb the outflow of fuel after global supplies were constrained amid the conflict in West Asia. With the latest decision, export duties on ATF, diesel and petrol have been recalibrated again, while domestic fuel duty rates remain unchanged.
Offering some relief after recent volatility in energy markets, the government has cut the windfall gains tax on exports of aviation turbine fuel and automobile fuels, while keeping excise duty rates on petrol and diesel for domestic consumption unchanged. The revised rates came into effect from Saturday, according to a finance ministry notification issued late Friday.
Advertisement
Revised export duty rates
Under the changes, the windfall gains tax on exports of aviation turbine fuel has been cut by ₹2.5 per litre to ₹19.5 per litre. On diesel exports, the government has retained the special additional excise duty at ₹24 per litre, while reducing the road and infrastructure cess of ₹1.5 per litre to nil. The windfall gains tax on petrol exports has also been brought down to nil.
No change in domestic fuel duties
The government said there is no change in the existing excise duty rates on petrol and diesel meant for domestic consumption. It said the tax rates are revised every fortnight on the basis of the average international prices of crude oil, petrol, diesel and aviation turbine fuel prevailing since the last review.
Advertisement
Petrol, diesel prices today
As of August 15, petrol and diesel rates across India remained steady despite global energy markets being on the edge. Petrol sold for ₹102.12 per litre in Delhi and ₹111.2 per litre in Mumbai. Diesel, on the other hand, remained below ₹100 per litre across most metro cities.
Background to the latest revision
The latest revision follows earlier changes in export duties on petroleum products as global crude oil prices remained volatile amid tensions linked to Iran. Earlier this week, the Centre had raised export duties on petrol, diesel and aviation turbine fuel, while previous revisions had also adjusted these levies in response to changes in refining margins and international prices.
Advertisement
The government had first imposed excise duty on aviation turbine fuel and retail fuel exports from Mar. 27 to curb the outflow of fuel after global supplies were constrained amid the conflict in West Asia. With the latest decision, export duties on ATF, diesel and petrol have been recalibrated again, while domestic fuel duty rates remain unchanged.
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