The Centre has reduced the windfall tax on petrol, diesel and aviation turbine fuel (ATF) exports for the current fortnight, bringing down the export levies on all three petroleum products.
The revised rates came into effect from September 16, 2026.
Windfall Tax Cut on Petrol Diesel Exports
Under the revised rates, the export levy on petrol has been reduced to ₹0.50 per litre from ₹1.50 per litre earlier. This means the levy on petrol exports has come down by ₹1 per litre.
For diesel exports, the total levy has been reduced to ₹20 per litre from ₹25 per litre.
The revised diesel levy includes the Special Additional Excise Duty, while the earlier ₹1 per litre Road and Infrastructure Cess has been removed.
The government has also lowered the levy on aviation turbine fuel, commonly known as ATF. The export duty on ATF has been cut to ₹15 per litre from ₹19 per litre earlier.
New Export Duty Rates From September 16
The latest changes apply to petroleum products exported from India and are valid for the current fortnight.
The government reviews these export levies every two weeks and can revise them depending on international fuel prices and market conditions.
The previous revision, effective from September 1, had fixed the petrol export levy at ₹1.50 per litre, the diesel levy at ₹25 per litre and the ATF levy at ₹19 per litre.
The latest notification has lowered each of these rates.
No Change in Domestic Petrol and Diesel Duty
The reduction is related to export levies and does not change the existing excise duty rates on petrol and diesel sold for domestic consumption.
Therefore, the latest notification is specifically focused on petroleum product exports.
The government had introduced these export levies in 2026 amid concerns over fuel availability and international market conditions linked to the West Asia crisis.
The rates have subsequently been reviewed at regular fortnightly intervals.
For exporters, the latest move means lower government levies on petrol, diesel and ATF shipments during the current review period.
The next fortnightly review could bring another change depending on prevailing market conditions.
