New Delhi: Soon after the Centre announced reduction in excise duty on petrol and diesel, a number of state governments followed the suit and took similar steps for their respective states. Starting from Assam to Karnataka, these states announced a major relief to the common man this Diwali.Also Read - Nuts, Seeds and Plant Oils Protect from Heart and Other Diseases, Says a Study
Earlier in the evening, the Central government reduced excise duty on petrol and diesel by a record Rs 5 and Rs 10 per litre to help bring down rates down from their highest-ever levels. Also Read - Coal Crisis: Govt to Increase Coal Production to 2 Million Tonnes Per Day
The excise duty reduction is effective from November 4 when petrol price will come down from the current rate of Rs 110.04 a litre in Delhi to Rs 105.04. Diesel rate will be reduced from Rs 98.42 per litre to Rs 88.42. Also Read - Disel Prices cut by 46 paise per litre, Petrol 50 paise per litre
“Government of India has taken a significant decision of reducing Central Excise Duty on petrol and diesel by Rs 5 and Rs 10 (pre litre) respectively from tomorrow. Prices of petrol and diesel will thus come down accordingly,” the finance ministry said in a statement.
The first state to reduce fuel price after Centre was Assam. The state decided to reduce the Value-Added Tax (VAT) on petrol and diesel by Rs 7 with immediate effect. Here’s a list of others states which have reduced fuel price this Diwali.
Assam: Assam Chief Minister Biswa Sarma took to Twitter, “Heartening to learn Central Govt decision to reduce excise duty on petrol and diesel. In consonance with the decision of Honble PM @narendramodi, I am pleased to announce that Assam Govt will also reduce VAT on petrol and diesel by Rs 7/- with immediate effect @nsitharaman.”
Himachal Pradesh: Himachal Pradesh CM Jai Ram Thakur took to Twitter and said that the state government will issue a notification soon to reduce Value-Added Tax (VAT) on petrol and diesel prices.
Tripura: Chief Minister Biplap Kumar Deb took to Twitter and announced the the state has decided to reducee petrol and disel cost by Rs 7 with effect from tomorrow(Nov 4, 2021).
Karnataka: Karnataka government has announced to reduce prices of petrol and diesel by Rs 7 per litre in the state.
Goa: The Goa government has announced to reduce prices of petrol and diesel by Rs 7 per litre in the state.
Uttarakhand: Uttarakhand CM Pushkar Singh Dhami announces to reduce VAT on petrol by Rs 2 per litre in the state.
Manipur: The Manipur CM N Biren Singh announced that the Manipur government will also reduce VAT on petrol and diesel each by Rs 7 with immediate effect.
Domestic prices of both fuels have touched record highs on the back of a steep rise in crude oil cost. Earlier in the month, Petrol has already breached the Rs 100 per litre mark and above in several cities, whereas, diesel is not far behind.
The Finance Ministry, in a statement on Wednesday night, a day before Diwali, said, “The reduction in excise duty on diesel will be double that of petrol. The Indian farmers have, through their hard work, kept the economic growth momentum going even during the lockdown phase and the massive reduction in excise on diesel will come as a boost to the farmers during the upcoming Rabi season.”
In recent months, crude oil prices have witnessed a global upsurge. Consequently, domestic prices of petrol and diesel had increased in recent weeks exerting inflationary pressure. The world has also seen shortages and increased prices of all forms of energy.