Premium petrol price over ₹100/litre in state
JAIPUR: Rates of premium petrol crossed ₹100 mark across three districts on Sunday.
The most expensive premium petrol was recorded in Sri Gangangar at ₹102.07 per litre, followed by Hanumangarh at ₹101.42, Bikaner ₹100.24 and Barmer ₹99.43. In Jaipur, the prices were ₹97.95.
While the Centre blames the Congress government for high fuel prices, the state government said the skyrocketing prices are because of the polices of the central government.
“While the Indian government is trying its best to reduce the prices of petrol, the Ashok Gehlot government in the state has enough allocations to reduce fuel prices. It depends on him how much he wants to ease the load on people,” said Smriti Irani, the Union minister for textiles and women and child development, during a press conference at the BJP headquarters in Jaipur on February 7.
On January 28, the state government had slashed the rate of value added tax (VAT) on petrol and diesel by 2% after the price of premium petrol had crossed ₹100/litre-mark in Sri Ganganagar.
A release from the CM’S office had said that despite the negative impact on economic activity due to the pandemic and the subsequent decrease in revenue, the decision to reduce VAT has been taken in the interest of the common man. The reduction in VAT on petrol and diesel will provide relief to commuters as well as to transport,
FINANCE DEPARTMENT OFFICIAL
infrastructure, real estate, and other businesses.
“With the reduction in VAT rates, the government’s revenue will reduce by approximately ₹1000 crore annually,” said the statement.
Gehlot claimed that despite the international crude oil prices staying at the lowest level for some time, inflation was rising in the country due to petrol and diesel prices being at the highest level, causing economic hardship to the common man.
An official from the finance department said, “36% excise duty is applicable on petrol and 26% on diesel. Central government was currently charging an excise duty of ₹32.98 per litre on petrol and ₹31.83 per litre on diesel.
He added that the basic excise duty forms a part of the divisible pool of the Centre’s tax revenue, from which, 42% of resources are shared with the states, which has been reduced continuously from ₹9.48 to ₹2.98 for per litre of petrol and ₹11.33 to ₹4.83 for per litre of diesel – causing a huge loss of revenue to all the states, including Rajasthan.
Centre has been continuously increasing the additional excise duty from ₹8 to ₹18 per litre on petrol and diesel; and special excise duty hike from ₹7 to ₹12 on petrol and up to ₹9 per litre on diesel has been done.