The Minister of State for Petroleum and Natural Gas, Shri Rameswar Teli in a written reply to a question in the Rajya Sabha today informed that Prices of petrol and diesel are market-determined with effect from 26.06.2010 and 19.10.2014 respectively. Since then, the Public Sector Oil Marketing Companies (OMCs) take appropriate decision on pricing of petrol and diesel in line with their international product prices, exchange rate, tax structure, inland freight and other cost elements. The prices of petroleum products in the country are linked to the price of respective products in the international market. However, the Government continues to modulate the effective price to consumer for Subsidized Domestic LPG and Retail Selling Price of PDS Kerosene.
With an aim to reduce the prices of petrol and diesel and give relief to the consumers, the Central Government reduced the Central Excise duty on petrol and diesel by Rs.5 per litre and Rs.10 per litre respectively with effect from 4th November, 2021. Many States/UTs have also reduced VAT on petrol and diesel subsequently.
The details of self sufficiency of crude oil and natural gas based on consumption of petroleum products for the last three years are as given below:-
| Year | Self sufficiency (%) | |
| Crude oil | Natural Gas | |
| 2018-19 | 16.20 | 52.70 |
| 2019-20 | 15.00 | 47.17 |
| 2020-21 | 15.60 | 45.80 |
| 2021-2022 (April– October) | 15.00 | 50.70 |
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