Inflation in the country is at its peak right now. Especially, the ever-increasing prices of petrol and diesel are directly affecting the pockets of the common man. But do you know how much commission the petrol pump owner gets on every litre of fuel you fill in your car at the petrol pump? We will know about this in detail in this article.

Let us tell you that the price of petrol and diesel is decided in the international market. For example, if the price of crude oil is 86.14 US dollars per barrel, then there are 159 liters in 1 barrel. At the same time, the price of one US dollar is 73.70 rupees, so in this case the price of 1 liter of crude oil is 39.92 rupees.

Whereas, after coming to India, this crude oil is refined well. There is some cost during refining as well. At the same time, after refining this crude oil, it is sold to the dealer i.e. petrol pump owner. Now after refining, the price of 1 liter petrol for the dealer will be 42 rupees. Commission of oil companies, entry tax, transportation cost etc. are included in this.

For example, understand that the dealer is given commission on every liter of petrol. These commissions keep changing by different state governments. Currently, a commission of about 2% per liter is being given. A commission of Rs 2.90 per liter is being given on petrol and Rs 1.85 per liter on diesel. After this, the Government of India imposes excise duty on the price of petrol.

This also keeps changing with the government. After this, the state government imposes VAT on the price of petrol as per its tax policy, after which finally the price of petrol is decided for the general public. In simple words, the petrol for which you pay Rs 100, that oil comes in India for less than half the price and after imposing many types of taxes, its price is almost double.