New Delhi: The government on Monday increased the windfall tax on exports of diesel and aviation turbine fuel (ATF) for the fortnight beginning June 16, while leaving the levy on petrol exports unchanged, according to a finance ministry notification.
Under the revised rates, the special additional excise duty (SAED) on diesel exports has been raised to Rs14 per litre from Rs13.5 per litre.
The duty on ATF exports has been increased to Rs12.5 per litre from Rs9.5 per litre. The export duty on petrol remains at Rs1.5 per litre. Duties on petrol and diesel sold in the domestic market are unchanged.
Officials said the move is aligned with the Centre’s effort to discourage refiners from prioritising overseas sales and to ensure adequate domestic availability amid a lean geopolitical phase in West Asia. Despite tentative progress on a US–Iran deal, uncertainties persist, they added.
Securing domestic supplies
The windfall tax was introduced to secure domestic fuel supplies and temper exporter gains from higher international prices triggered by disruptions linked to the conflict in West Asia. The government first imposed export duties on diesel and ATF in March and has revised them several times in response to global energy market conditions.
Industry executives said the latest increase could marginally compress export realisations for refiners, but is unlikely to immediately affect domestic pump prices as retail duties are unchanged. The next review of the windfall tax is expected at the end of the current fortnight.
