Fuel Prices Surge: Karnataka Officials Cite Tax History

Fuel Prices Surge: Karnataka Officials Cite Tax History.webp

Bengaluru, March 27 – Karnataka Chief Minister Siddaramaiah, Deputy Chief Minister D.K. Shivakumar, and AICC General Secretary Randeep Singh Surjewala launched a sharp attack on the Union government on Friday, alleging large-scale “loot” through taxation on petrol and diesel over the past 11 years.

Addressing a joint press conference at the KPCC office in Bengaluru, Randeep Singh Surjewala charged that the Centre had collected Rs 43 lakh crore in taxes on petrol and diesel since 2014, which, he said, amounted to nearly Rs 1,000 crore per day.

He alleged that despite a recent announcement of a reduction in excise duty on petrol and diesel, there would be no real relief for the common man, and claimed the move was aimed at benefiting private oil companies.

“The reduction in excise duty is a sleight of hand. While the government projects it as relief, the benefit will not reach the common people. Instead, it will result in an annual duty concession of Rs 3.6 lakh crore, aiding private oil companies,” he said.

CM Siddaramaiah further alleged that fuel prices remained high despite a decline in global crude oil prices. He pointed out that petrol was priced at Rs 71.41 per litre and diesel at Rs 56.71 per litre in May 2014, while current prices in Bengaluru stand at Rs 102.96 and Rs 90.99 per litre, respectively.

He argued that, based on international crude oil prices, petrol and diesel should be significantly cheaper, accusing the Centre of imposing high excise duties to generate revenue.

According to CM Siddaramaiah, the Union government imposed an average excise duty of Rs 19.70 per litre on petrol and Rs 15.50 per litre on diesel between 2014 and 2025, making fuel taxation a major source of revenue.

Deputy Chief Minister Shivakumar accused the Centre of frequently revising excise duties, claiming that there had been 21 revisions, including 12 hikes, over the years.

He further alleged that the government had a pattern of increasing fuel prices after elections. Citing instances following the 2014, 2019, and 2022 elections, he claimed that petrol and diesel prices were raised soon after polling concluded.

He also highlighted a steep rise in LPG prices, noting that the cost of a domestic cylinder had increased from Rs 412 in 2014 to Rs 913 in March 2026. In contrast, he said international LPG prices had declined during the same period.

Raising concerns over a potential increase in fuel prices, he alleged that oil companies had already begun hiking rates and warned of further increases after the conclusion of upcoming state elections.

He demanded that the Union government provide relief to the public instead of burdening them with high fuel costs.

“The Prime Minister must come forward and answer to the people of Karnataka and the country,” Shivakumar said.
 
Tags Tags
crude oil prices d.k. shivakumar diesel prices excise duty fuel taxation india karnataka karnataka politics lpg prices oil companies petrol prices press conference siddaramaiah state elections union government
Back
Top