Maharashtra government reduces fuel prices by Rs 2.50 per litre

Excise Duty Cut On Fuel Cheating Says Arvind Kejriwal

He added that the last time that the Centre asked states to provide relief to the common man "only BJP or NDA allies-led states" did that.

Addressing mediapersons here, Congress spokesman Randeep Singh Surjewala called the cut "a panic reaction in the face of public anger" ahead of assembly polls in four states.

"Maharashtra Government also made a decision to give additional relief of Rs 2.5/litre on Petrol to give total benefit of Rs 5/litre in the State of Maharashtra", Fadnavis tweeted.

Excise duty to be reduced by Rs.1.50 & OMCs will absorb 1 rupee. Today's petrol price in state capital Raipur was Rs 84.33 litre and diesel price was Rs 81.21 per litre.

Finance Minister Arun Jaitley announced a cut of R s 2.50 percent in fuel prices.

To curb the skyrocketing fuel prices, Finance Minister Arun Jaitley on Thursday announced a cut of Rs 2.5 in the prices of both petrol and diesel. Since petroleum prices have been de-regularised, increase in global crude prices result in an immediate increased in local prices. "This will be a test for all state governments, especially leaders who were only offering lip service earlier", Mr Jaitley pointedly remarked.

"I hope all state governments do this, and they announce this so that consumers benefit by 5 rupees", Jaitley told reporters.

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"Last time it were only the NDA ruled states, which made the Value-Added Tax reductions after the Rs 2 excise cut by the Centre past year", he said.

With this decision, fuel prices in several states like Maharashtra, Gujarat, Chattisgarh, Madhya Pradesh and Uttar Pradesh will come down by Rs 5. If it is serious, it should reduce the tax to what it was when it assumed office.

Petrol prices on Thursday touched an all-time high of Rs 91.34 per litre in Mumbai.

"Ever since the Modi government assumed office, it has raised excise duty on diesel by Rs 14 and petrol by Rs 9 per litre".

Jaitley, however, said asking oil companies to bear a part some burden is not going back on deregulation. Of this, IOC's share would be roughly half and the rest split equally between HPCL and BPCL.

In India, nearly half of the price of retail fuel is due to taxes. The centre levies a total of Rs 19.48 per litre of excise duty on petrol and Rs 15.33 per litre on diesel.

The government has also expressed confidence it will fulfill its fiscal deficit targets, Patra noted. He said, the inflation in the country is still less than 4 per cent.

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