‘Assault On Household Budgets’: Mamata, Kharge, Rahul Slam Modi Govt’s LPG Price, Fuel Excise Duty Hikes

The BJP-led government hiked excise duties on petrol and diesel by ₹2 per liter and increased domestic LPG cylinder prices by ₹50, sparking criticism from the Congress and opposition leaders.

By : ABP Live News | Updated at : 07 Apr 2025 11:07 PM (IST)

West Bengal CM Mamata Banerjee, Congress president Mallikarjun Kharge, and Lok Sabha LoP Rahul Gandhi condemned the price hikes as a burden on the common people and a reflection of the government's "anti-people policies."
Source : PTI | X/@Kharge

The Congress and several opposition leaders on Monday launched an attack on the BJP-led Union government following the steep hike in cooking gas prices and an increase in excise duty on petrol and diesel. The leaders remarked the move would burden the common people and described it as a reflection of the government’s “anti-people policies”.

The government raised the excise duty on petrol and diesel by ₹2 per litre each, pushing the total central taxes on petrol to ₹21.9 per litre and on diesel to ₹17.8 per litre. Additionally, the price of a 14.2-kg domestic LPG cylinder was increased by ₹50, affecting both general users and Ujjwala scheme beneficiaries from April 8.

Trinamool Congress (TMC) chief and West Bengal Chief Minister Mamata Banerjee also slammed the Centre over the LPG price hike. She posted on X, “The idea of ‘Vikas’ for the BJP government at the Centre seems to be squeezing every last penny from the pockets of ordinary Indians. From essential medicines to petrol, diesel, and cooking gas, every necessity is slowly becoming a luxury.”

She added, “While families struggle with shrinking savings and mounting debt, this regime continues its assault on household budgets. BJP isn’t running a government at the Centre, it’s taking money from people’s pockets.”

Congress president Mallikarjun Kharge, in a post on X (formerly Twitter) in Hindi, said, “Wah, Modi ji, wah! International crude oil prices have fallen by 41 per cent compared to May 2014 but your plundering government, instead of reducing the prices of petrol and diesel, has increased the central excise duty by ₹2 each.”

“This time, the whip of inflation also fell on the savings of the poor women of “Ujjwala”. Looting, extortion, fraud…all have become synonymous with the Modi government,” he wrote in another post.

He added, “You must not have been satisfied after the small and big investors in the stock market lost ₹19 lakh crore in one go due to the deep ‘Kumbhakarna-like’ sleep on the tariff policy that your government has now come to rub salt into the wounds!”

Lok Sabha LoP and Congress MP Rahul Gandhi also took to X and posted in Hindi, “Finally, Modi ji gave a befitting reply to tariffs! Tax on petrol-diesel and gas cylinder prices were increased further. People suffering from inflation were given another gift of government loot!”

Supriya Shrinate, Congress spokesperson, criticised the government for claiming that the ₹2 excise duty hike would not impact consumer prices. In a post in Hindi, she said, “Where does this shamelessness come from? The truth is that instead of reducing prices, they should have decreased. Crude oil is currently at its lowest level in four years — $60 per barrel — while in April last year it was $86 per barrel. Despite a $26 per barrel drop, petrol and diesel prices have not decreased. The Modi government is busy profiteering but please don’t think people are fools.”

In an accompanying video, she further stated, “When global crude oil prices rise, you increase domestic rates. But when prices fall, you don’t pass on the benefit because the Modi government starts profiteering. Now that crude oil is cheap, the government is hiking excise duty to fill its pockets.”

TMC leader Kunal Ghosh echoed similar sentiments, saying, “We strongly oppose these kinds of price hikes. This is a burden upon people. The Union government is anti-people with their anti-people policies. These price hikes are for goods related to ‘Roti, Kapda and Makaan’. We condemn this.”

Samajwadi Party MP Awadhesh Prasad described the hike as “a burden on the people of this country amid inflation and difficulties.” He said, “This makes things difficult for women. Keeping in mind the rise in inflation, I demand that the Central Government roll back this decision.”

Nationalist Congress Party MP Supriya Sule raised questions about the government’s justification, posting on X, “The govt had blamed global crude oil hikes for skyrocketing fuel prices. The public accepted this & bore the burden. But now, with crude prices crashing globally, why are petrol, diesel & LPG still unaffordable? Instead of relief, prices are being hiked again. What’s the new excuse? The citizens demand answers—not silence.”

Punjab Finance Minister Harpal Singh Cheema said, “Since the BJP came to power in the country, be it gas cylinders or domestic products, the rates of commodities have only increased. By increasing the LPG cylinder price by ₹50, the BJP is snatching food from people.”

Oil Minister Hardeep Puri On LPG Price Hike 

Oil Minister Hardeep Singh Puri cited the mounting losses of public sector oil marketing companies as reason behind the hike. He stated that the average Saudi CP – the international benchmark for LPG – has surged by 63 per cent to USD 629 per tonne in February 2025, up from USD 385 in July 2023. He said this warranted an LPG price of ₹1,028.50 per cylinder in Delhi.

Puri added that PSUs incurred losses of ₹41,338 crore in FY 2024-25 by selling LPG below cost, and the hike was needed to cover future costs. For Ujjwala beneficiaries, the price per cylinder will now be ₹553, and for general users, it will be ₹853.

Despite the excise duty hike, the Ministry of Petroleum and Natural Gas clarified that retail selling prices of petrol and diesel will remain unchanged. In a post on X, the ministry said, “PSU Oil Marketing Companies have informed that there will be no increase in retail prices of #Petrol and #Diesel, subsequent to the increase effected in Excise Duty Rates today.”

According to officials, the ₹2 hike per litre on petrol and diesel is expected to fetch the government an additional ₹32,000 crore annually, given India’s annual consumption of 16,000 crore litres of the two fuels. The excise changes will be effective from 8 April 2025.

Brent crude fell to USD 63.15 per barrel while US WTI dropped to USD 59.57 on Monday — the lowest since April 2021 — amid escalating US-China trade tensions, which have triggered concerns over a possible global recession.

The Centre has a history of raising duties during periods of low international crude prices. Between November 2014 and January 2016, excise duty was increased nine times, with the petrol duty rising by ₹11.77 and diesel by ₹13.47 per litre. Though these were later rolled back partially during periods of rising global prices, the trend of duty hikes during price dips has continued.

Published at : 07 Apr 2025 11:07 PM (IST)
Tags :
Diesel Hardeep Singh Puri Rahul Gandhi LPG Price Excise Duty Petrol LPG Price-hike MALLIKARJUN KHARGE MODI GOVT

Follow Breaking News on ABP Live for more latest stories and trending topics. Watch breaking news and top headlines online on ABP News LIVE TV
View More