India made noteworthy progress on fossil fuel subsidy reform: ADB

"The country was able to reduce its fiscal subsidy in the oil and gas sector by 85%, from an unsustainable peak of $25 bn in 2013 to $3.5 bn in 2023"

NEW DELHI: India has since 2010 made noteworthy progress on fossil fuel subsidy reform through a calibrated 'remove', 'target', and 'shift' approach, the Asian Development Bank (ADB) said in a new report.

"By carefully balancing the combined effect of three key policy levers - retail prices, tax rates, and subsidies on selected petroleum products - the country was able to reduce its fiscal subsidy in the oil and gas sector by 85 per cent, from an unsustainable peak of $25 billion in 2013 to $3.5 billion in 2023," it said.