An incredible news for the general public. The government has made a big announcement regarding the price of petrol. Now, the excise duty on ethanol blended petrol has been completely removed. After this decision of the government, there will be no more excise duty on petrol blended with 22% to 30% ethanol. While this decision is like a big gift for the general public, farmers will also benefit from it.
Both farmers and the public will benefit:
If the demand for cheap petrol mixed with ethanol increases in the market, the direct benefit will be received by the farmers of the country. Because ethanol is produced mainly from sugarcane, corn and spoiled crops. On the other hand, the price of crude oil in the international market has reached $ 114 per barrel. Due to this, the country’s import costs are constantly increasing. To address this problem and improve the condition of the Indian rupee, the government is giving more emphasis on this alternative fuel.
Is this excise duty?
Excise duty or excise duty is a type of indirect tax, which is levied on goods manufactured within the country. This duty is especially imposed on liquor, tobacco and petroleum products. Let us know about the rules and conditions of zero excise duty. According to the new government directive, excise duty has been waived on petrol with 22%, 25%, 27% and 30% ethanol blend. This fuel must be manufactured as per the rules and standards of the Bureau of Indian Standards (BIS).
E20 or E85: Which fuel is cheaper?
Earlier, petrol blended with 20% ethanol i.e. E20 was being promoted in the country. But looking at the global market situation, the Indian government has recently launched E85 fuel in the market. E85 fuel contains 85 percent ethanol and 15 percent petrol. The special thing is that this E85 fuel is about 20 rupees cheaper per liter compared to E20 petrol.
