Mumbai (Maharashtra): A day after reducing Value-added Tax (VAT) on petrol, the Maharashtra government on Friday announced a reduction in diesel prices by Rs 1.56 per litre to give a total benefit of Rs.4.06 per litre in the state. Also Read - Petrol Prices Remain Unchanged Across Metros For 8th Straight Day
Announcing the rate cut, Chief Minister Devendra Fadnavis said that after the Centre’s relief of Rs.2.50 per litre on diesel, the state government has decided to give a further relief Rs.1.56 per litre by way of taxes.(CLICK HERE FOR LIVE FUEL PRICES ACROSS INDIA) Also Read - Mumbai Local Train News: Suburban Services to be Affected on Central, Western And Harbour Line Today. Check Timings
Fadnavis further added that the Maharashtra government’s decision to cut the Value Added Tax (VAT) on petrol by Rs 2.50/litre has been hugely welcomed by the people and the government will bear the losses in the larger public interest. Also Read - Amid Surge in Coronavirus Cases, Govt Rushes Central Health Teams to Maharashtra, Punjab | Key Points
Soon after the Central government announced a reduction in petrol and diesel prices, the Maharashtra government and at least a dozen states followed suit by reducing various local taxes like VAT on petrol and diesel.
However, Maharashtra cut VAT only on petrol, attracted criticism that it was acting in the interests of the affluent sections of people.
The state and Centre’s decision collectively resulted in a drop in petrol prices by around Rs 4.37/litre, against the promised Rs 5/litre, from 6 a.m. on Friday in Maharashtra, which had been reeling under the highest fuel prices anywhere in the country.
Earlier in the day, the Chandigarh Administration reduced the petrol and diesel prices by Rs 1.50 per litre which will come into effect from midnight, news agency ANI reported. Soon after, Nitish Kumar-led Bihar government slashed petrol and diesel rates by Rs 2.52 and Rs 2.55 per litre, respectively.