Petrol pump owners to CM: Slash VAT on diesel

Ranchi: The Jharkhand Petroleum Dealers’ Association (JPDAhas urged the government to slash the value added tax (VAT) on diesel to 17% from 22%.
A delegation met chief minister Hemant Soren and rural development minister Alamgir Alam in Jharkhand Vidhan Sabha on Tuesday. It urged the government to reduce VAT so that prices of essential commodities can be reined in and the pump operators can compete with their counterparts in Bihar and West Bengal.
The petrol pump operators in its memorandum claimed that industrial units and transporters are purchasing diesel from the neighbouring states as the prices are cheaper there owing to lesser VAT. “This has affected the sale of petrol and diesel in the state and is causing losses to the state’s revenue,” it read.
The delegation also urged the CM to ensure that the pending dues of government departments and district administrations, which purchase fuel for government vehicles on credit, be cleared at the earliest.
“Home, jail, and disaster management and energy departments have dues that run in to crores of rupees,” JPDA spokesperson Pramod Kumar said.
Government departments in Ranchi owe the petrol pump owners Rs 3 crore, JPDA insiders said.