The tax expenditure on fossil fuels for consumers in India is forecasted to grow from 10.26 billion USD in 2024 to 12.56 billion USD by 2028, which represents an annual compound growth rate (CAGR) of approximately 5.19%. From 2024 to 2025, the growth is 5.65%, while 2025 to 2026 sees a 5.38% increase. Between 2026 and 2027, the increase is 5.00%, with the growth slightly decelerating to 4.76% from 2027 to 2028.
Future trends to watch for include policy shifts aimed at reducing fossil fuel dependence, potential changes in subsidy regulations, and the impact of renewable energy advancements and adoption, which may influence future tax expenditure dynamics.
