Bring Petrol, Diesel Under GST, Says Oil Min As Prices Skyrocket
Earlier, Dharmendra Pradhan had shared ‘price facts’ on petrol and diesel to defend the spike in fuel prices.
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Despite petrol and diesel prices touching their highest in three years, the government has said that it has no plans of lowering the excise duty on fuel.
The price of petrol in Mumbai rose to Rs 79.48 per litre last Tuesday, the highest in the last three years. In Delhi, petrol now costs Rs 70.38 per litre. Similarly, in Kolkata and Chennai, diesel is priced Rs 61.37 and Rs 61.84 per litre, respectively. The increase has been of Rs 5.75 per litre in Kolkata and Rs 5.71 litre in Chennai since 1 July.
Meanwhile, Union Minister of Petroleum and Natural Gas Dharmendra Pradhan on Friday said that petroleum products should be brought under the ambit of the Goods and Services Tax (GST), reported ANI.
We have to have rational tax management. Both the state and union governments have to come to the consensus that petroleum products must come under the GST mechanism.Dharmendra Pradhan
Petrol, Diesel ‘Price Facts’
Earlier on Thursday, the Union Minister of Petroleum and Natural Gas shared “price facts” on both petrol and diesel — a comparison of the hike in fuel price in international market versus domestic market.
Pradhan blamed the hurricanes in the US for the price rise, saying:
You have to appreciate the changing scenario. Everyday there is a pinch and relief. Due to natural calamities in the coastal areas of the US, 13 percent refining capacity has been reduced which impacts the international market.Dharmendra Pradhan
The minister further said that for a robust economy, the pricing freedom should remain with the oil companies.
Although the international price of crude oil halved over the last three years, the prices of petrol and diesel increased with a series tax hikes.
According to a Hindu Business Line report, the hike in excise duty on petrol and diesel has enabled the Centre to raise approximately Rs 1 lakh crore as central excise duties.
Pradhan has reportedly said that the increased revenue would go into the making of more roads, irrigation and drinking water, and also asserted that the oil companies reserve their pricing freedom.
Congress Lashes Out Against Centre
Meanwhile, the Congress has demanded withdrawal of central excise duties and other taxes on petrol and diesel, and said it will hold a demonstration at the Jantar Mantar in Delhi on Wednesday to press for this demand.
Congress spokesperson Ajay Maken said that considering the fall in crude oil prices in the international market, the prices of petrol and diesel should be Rs 34 and Rs 32, respectively.
While the Modi government has spelled out absurd reasons like Hurricanes Harvey and Irma for the increase in petrol and diesel prices, it has dealt a devastating blow to the savings of the common people by brazenly increasing central excise duty 11 times in the past three and half years.Ajay Maken
Commenting on the Congress’ threat, Pradhan said that the party has looted the people when it was in power, whereas the Bharatiya Janata Party (BJP) was using the profits to benefit the consumers.
(With inputs from ANI and IANS)
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Topics: Petrol Diesel Prices Fuel prices
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