How much money goes towards fuel?
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Hyderabad: Information disclosed by Hindustan Petroleum Corporation Ltd (HPCL) under the Right to Information (RTI) Act has revealed how petrol and diesel prices are structured in Hyderabad, highlighting the significant role of taxes in fuel pricing.
The details were provided in response to RTI applications filed by Hyderabad-based activist Robin Zaccheus. According to the disclosure, a litre of petrol priced at Rs 115.68 comprises Rs 82.14 charged by oil marketing companies to dealers, Rs 28.99 collected as Telangana government tax, and Rs 4.57 paid as dealer commission.
In other words, for every Rs 100 spent on petrol, about Rs 71 goes towards the fuel, Rs 25 to the state government and Rs 4 to dealers.
A similar pattern is seen in diesel pricing. Of the Rs 103.81 charged for a litre of diesel, Rs 79.28 represents the dealer price, Rs 21.46 is collected as state tax and Rs 3.06 is paid as dealer commission. For every Rs 100 spent on diesel, roughly Rs 76 goes towards the fuel, Rs 21 to the state government and Rs 3 to dealers.
The RTI response noted that central excise duties imposed by the Union government are included in the price charged to dealers before state taxes are added. HPCL said retail fuel prices are determined by international petroleum product prices, exchange-rate movements and domestic market conditions, including duties and taxes.
The figures show that state taxes account for nearly one-fourth of petrol prices and more than one-fifth of diesel prices in Hyderabad.
However, HPCL declined to disclose additional pricing details sought through the RTI applications, stating that the information was commercially sensitive and exempt from disclosure under the RTI Act.