Monday, 12 November, 2018

Petrol down by Rs 4.37/litre, Maharashtra to cut diesel rates: CM

Petrol diesel prices to come down by Rs 2.50 govt cuts excise duty Jaitley's oily wand: how 8 BJP-ruled states will benefit from fuel excise duty cut
Nellie Chapman | 06 October, 2018, 10:24

The state will do so if the Centre bring the fuel prices down to the level when the Narendra Modi government assumed office in May 2014, Issac told the media here while reacting to Union Finance Minister Arun Jaitley's statement in this regard.

Finally, after an unhindered rally of fuel prices, the government has announced a tax-cut to compensate for the increase in crude prices. Top sources said that the state government is also considering a reduction in the prices of diesel.

Price cut in states like Gujarat and Maharashtra would be Rs 5 after they matched the announcement with a similar reduction in local sales tax or VAT rates. He added that the last time that the Centre asked states to provide relief to the common man "only BJP or NDA allies-led states" did that.

Blaming the Centre for the frequent spurt in price of petroleum products, Isaac said it was the Centre that hiked the taxes on petroleum products.

Apart from this, the oil marketing companies in India have been asked to bear the remaining burden of Re 1 per every litre and with this, the customers will get a relief of Rs 2.50 per litre on both petrol and diesel.

In the process, the Modi government also scored an own goal against its pet theme of simultaneous polls as some citizens prayed for "an election a month or a week" to keep prices down. After you announced Rs 5/litre, implement it instead of giving just Rs 4.37/litre... Oil marketing companies, simultaneously, will take a Re 1 per litre hit as well. After much chaos regarding the fuel rate, the government has made a decision to cut down the price of the fuel.

The Finance Minister said, the prices of crude oil and domestic developments in the United States have impacted the economies across the world. The central excise on petrol and diesel went up by 211 per cent and 443 per cent respectively. It stands at Rs 15.33 per litre now.

Jaitley said the total impact of Rs 1.50 cut in excise duty is about Rs 21,000 crore for full year and Rs 10,500 crore the reminder of current fiscal.