India to be in league of nations using cleanest petrol and diesel

From April 1, 2020, India will shift its petrol and diesel quality from euro 4 to the cleanest one i.e. euro 5 standard. It will contain just 10 parts per million of sulfur, emission of which would result in less pollution.

Crux of the Matter

India has switched its fuel-grade from euro 4 equivalent, Bharat Standard (BS 4) to euro 5 within the period of only 3 years. No other country has been able to make fuel quality up-gradation this quick. In past India took seven years to upgrade its fuel quality from euro 3 i.e fuel with 350 ppm of sulfur to euro 4 i.e. fuel with 50 ppm.

To meet the demand of ultra-low sulfur petrol and diesel, state-owned refineries spent a sum of Rs 35,000 crores to upgrade its plants. In the latest upgrade, the amount of investment was around Rs. 60,000 crores. The amount of benzene present in petrol has been also reduced from 5% in 2000 to 1% in 2020.

We are absolutely on track for supplying BS-VI fuel from April 1. Almost all refineries have begun supplying BS-VI fuel and the same has reached storage depots across the country.

– Sanjiv Singh, IOC Chairman

Oil companies have already started the supply of euro 5 standard fuel from 2018 in Delhi and from 2019 in four districts of Rajasthan as well as seven districts of Haryana, due to high levels of pollutions. Oil Corporation has also started producing euro 5 fuel from the end of 2019 and from storage depots, it will be supplied across the whole nation from April 1, 2020. Mr. Sanjiv further added, “We are 100 percent confident that fuel that will flow from nozzles at all the petrol pumps in the country on April 1 will be BS-VI emission compliant fuel.”

Curiopedia

Bharat stage emission standards – Bharat stage emission standards (BSES) are emission standards instituted by the Government of India to regulate the output of air pollutants from internal combustion engines and Spark-ignition engines equipment, including motor vehicles. The standards and the timeline for implementation are set by the Central Pollution Control Board under the Ministry of Environment, Forest and Climate Change. More Info.

FM: Only GST Council & States Can Take Call on GST On Petroleum Products

In an interaction with industry leaders in Kolkata, Finance Minister Nirmala Sitharaman reiterated government’s view on including petrol and petroleum products under GST by saying, “It is already covered in the GST and the states have to decide when they want petrol and petroleum products to be taxed under GST.”

Crux of the Matter

The Finance Minister said that there is no need for any new amendment to include petrol under GST. It is upon the states and the GST council to agree on the rate and decide when to charge it from.

At the time of roll-out of GST, after deliberate discussions, a provision was made to include petroleum products in the new regime at zero percent.

Petroleum products have been placed under the GST due to the foresight of the late Finance Minister Arun Jaitley.

Finance Minister Sitharaman spoke deliberately addressing a variety of concerns faced by the industry at the post-Budget interaction organized by the Ministry of Finance in Kolkata.

Curiopedia

Goods and Services Tax (GST) is an Indirect Tax that came into effect from July 1, 2017. It has subsumed almost all the indirect taxes except few; multi-staged as it is imposed at every step in the production process, but is meant to be refunded to all parties in the various stages of production other than the final consumer and as a destination-based tax, as it is collected from point of consumption and not point of origin like previous taxes. Goods and services are divided into five different tax slabs for collection of tax – 0%, 5%, 12%, 18%, and 28%More Info