The Congress on Friday criticised the Narendra Modi government after it reduced excise duty on petrol and diesel by ₹10 each without lowering retail prices for consumers. The move means fuel prices at petrol pumps remain unchanged despite the tax cut.
At the same time, senior BJP leaders including Home Minister Amit Shah and Defence Minister Rajnath Singh praised Prime Minister Modi for what they described as a step to provide relief to citizens.
Congress leaders, however, questioned this claim and asked whether the reduction would actually benefit the public. Party leader Pawan Khera argued that the excise duty cut is meant to ease the burden on oil marketing companies rather than consumers, who will continue to pay the same price. He also pointed out that the government has increased excise duty multiple times over the past decade and said the current reduction cannot be presented as a favour.
Khera further criticised remarks by Petroleum Minister Hardeep Singh Puri, saying that the government cannot claim to bear the burden on behalf of the people since public money ultimately belongs to citizens.
Congress general secretary Jairam Ramesh also targeted the government, alleging that the decision was timed to influence upcoming assembly elections in Kerala, Tamil Nadu, West Bengal, Assam and the Union Territory of Puducherry. He noted that in the past, when global crude oil prices had fallen, the government did not pass on the benefit to consumers, suggesting that the latest move is politically motivated.
Karnataka Deputy Chief Minister DK Shivakumar echoed similar concerns, stating that the decision appears linked to the elections. He referred to a recent price increase by private firm Nayara Energy and said the issue would be raised among the public. When asked if the state government would take steps to reduce prices, he said a decision would be taken later.
Despite the excise duty reduction, fuel prices remained unchanged on Friday. The government said the decision was aimed at offsetting losses faced by oil companies as global crude oil prices rose sharply from around $70 per barrel to $122 per barrel.
In a post on X, Petroleum Minister Hardeep Singh Puri said the government chose to absorb the financial impact rather than pass it on to consumers, in order to shield citizens from global price volatility. He added that this approach has been followed consistently in recent years.
India depends heavily on imports for its energy needs, sourcing about 88 percent of its crude oil and nearly half of its natural gas from abroad. Much of this supply passes through the Strait of Hormuz, which has been affected by the ongoing conflict. Iran has indicated that access through the route may be restricted for certain countries.
Meanwhile, Jammu and Kashmir Chief Minister Omar Abdullah urged the Prime Minister to use diplomatic channels to help bring an end to the conflict involving Iran. He described the war as unjust and appealed for efforts that would contribute to peace and stability.
