Windfall tax on diesel, ATF up, levy on petrol exports cut
Government revises special additional excise duty on fuel exports for the fortnight starting 16 July 2026
- The Union government revised the special additional excise duty on diesel, aviation turbine fuel, and petrol exports for the fortnight starting 16 July 2026.
- The levy on diesel exports increased to ₹15.5 a litre from ₹8.5 a litre.
- The levy on aviation turbine fuel exports increased to ₹14.5 a litre from ₹7.5 a litre.
- The levy on petrol exports decreased to ₹2.5 a litre from ₹4 a litre.
The Union government revised the special additional excise duty on fuel exports for the fortnight starting 16 July 2026. The change affects diesel, aviation turbine fuel (ATF), and petrol.
The revision is important because export levies on petroleum products are often used to capture part of the windfall earned by refiners when international product prices or export margins rise. Such levies can also affect export competitiveness and refinery realisations.
UPSC may link the revision in fuel-export levies to indirect taxation, energy pricing, and government efforts to capture windfall gains from petroleum exports while managing trade and refinery incentives.
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