New Delhi:
With the Centre reducing the Value Added Tax (VAT) on petrol and diesel by Rs 2.50 a litre, the Bihar government Friday also lowered excise duty on both the fuels which would make these cheaper by Rs 2.52 and Rs 2.55 a litre, respectively.
As per an official release, VAT on petrol has been reduced from 26 per cent to 22.20 per cent, while on diesel, it will be 15 per cent as against the earlier rate of 19 per cent.
The move came hours after Chief Minister Nitish Kumar had hinted that the state government was looking forward to reducing taxes on petroleum products, following the Centre's decision to slash excise duty on the same a day earlier. Incidentally, the BJP is also an alliance partner in the ruling coalition in Bihar.
While Congress-ruled Punjab is yet to decide on how to reduce the fuel prices, Haryana has announced a price cut of Rs 1.50/litre on both petrol and diesel. "Chandigarh Administration reduces petrol and diesel prices by Rs.1.50 per litre," a statement read.
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The Jharkhand government, which earlier reduced diesel prices by Rs 2.50 a litre, also gave an additional relief of Rs 2.50/litre on petrol.
The Devendra Fadnavis-led government in Maharashtra has decided to provide relief of Rs 1.56/litre on diesel, which will give a total benefit of Rs 4.06/litre in the state. Early Thursday, Fadnavis had announced a price slash of Rs 2.50/litre on petrol, making the fuel cheaper by Rs 5 in the State of Maharashtra.
The revised prices will come into effect from midnight today. Thursday, over 10 BJP ruled states have reduced VAT on petrol and diesel prices, leading to a major cut on Friday, October 5, 2018.
Today, petrol price in Delhi stood at Rs 81.50 per litre, while Diesel was priced at Rs 72.50 per litre. Whereas in Mumbai, petrol was marked at Rs 86.97 per litre and diesel was priced Rs 77.45 per litre. Check the October 5 rates in metro cities across India.
Briefing the media in the national capital Thursday, Finance Minister Arun Jaitley announced marginal relief for citizens with an oil duty cut of Rs 1.50 and another Re 1 drop in what the government charges from Oil Marketing Companies (OMCs).
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The Rs 2.50 benefit for citizens is within the control of the government and OMCs, the finance minister said. "I am sure the states will also start delivering immediately," Jaitley said amid the opposition's allegations that the economy is under severe stress.
