Centre Raises Windfall Tax on Crude Oil to Rs 7000 per Tonne

18 Jul 2024 CW Team

The Indian government has recently announced a substantial hike in the windfall tax on crude oil, raising it to Rs 7000 per tonne from the previous rate. This decision is part of efforts to bolster revenue from the oil sector amid volatile global oil prices. The windfall tax is levied when crude oil prices cross certain thresholds, aiming to capture excess profits earned by oil producers during periods of high oil prices.

The increase in the windfall tax rate is expected to augment the government's revenue streams significantly. This move aligns with broader fiscal strategies aimed at managing economic challenges and optimising resource allocation in the energy sector. By enhancing tax collection from oil companies during periods of windfall gains, the government seeks to stabilise its fiscal position and mitigate the impact of global oil price fluctuations on the domestic economy.

Industry analysts anticipate that the revised windfall tax rate could influence investment decisions within the oil sector, potentially affecting exploration and production activities. The measure underscores the government's proactive stance in leveraging fiscal policy tools to navigate economic uncertainties and sustain growth momentum in critical sectors such as energy.

Overall, the hike in the windfall tax on crude oil reflects India's strategy to harness its natural resource wealth for broader economic development goals while ensuring sustainable revenue generation amid global economic uncertainties.

Infrastructure Energy

17 Sep 2025

Adani Power To Build 2,400 MW Plant in Bihar

Adani Power on Saturday (September 13, 2025) announced plans to set up a 2,400 MW ultra super-critical power plant in Bihar at an investment of $3 billion (around Rs 26.48 billion).The company has signed a 25-year Power Supply Agreement (PSA) with Bihar State Power Generation Company Ltd (BSPGCL) to supply electricity from the project, which will be located at Pirpainti in Bhagalpur district.The PSA follows a Letter of Award issued by BSPGCL to Adani Power on behalf of North Bihar Power Distribution Company Ltd (NBPDCL) and South Bihar Power Distribution Company Ltd (SBPDCL) in August. Adani P..

NTPC Plans Nuclear Power Projects Via JV and Standalone Routes

Power major NTPC is planning to develop nuclear power projects both through joint ventures and on a standalone basis, CMD Gurdeep Singh has said.The company is collaborating with nuclear technology providers and state governments to explore individual nuclear projects, Singh added.Currently, the NTPC Group has an installed capacity of 82,926 MW across 53 NTPC-owned stations and 53 joint venture or subsidiary stations, drawing power from coal, liquid fuel, hydro, and solar sources.In December 2024, Singh had announced NTPC’s ambitious plan to enter the nuclear energy sector, a move expected t..

RVNL Wins $21.6 Million Bhopal Division Traction Substation

Rail Vikas Nigam (RVNL) has been declared the lowest bidder for a $21.6 million traction substation contract awarded by the West Central Railway.The project covers the design, modification, supply, erection, testing, and commissioning of a 220/132kV/2×25kV Scott-connected traction substation, switching posts, Auto-Transformer installations, and Supervisory Control and Data Acquisition (SCADA) systems in the Bina–RTA section of the Bhopal Division. The execution period is set at 540 days.In a regulatory filing, RVNL stated that the order was secured in the ordinary course of business and doe..