Hours after the Centre cut excise duty on petrol and diesel on November 3, several state governments also slashed taxes on the two fuels to make them cheaper in the respective states.
The central government cut excise duty on petrol and diesel by a record Rs 5 and Rs 10 per litre on November 3 to help bring down rates down from their highest-ever levels. "Government of India has taken a significant decision of reducing Central Excise Duty on petrol and diesel by Rs 5 and Rs 10 (per litre) respectively from tomorrow. Prices of petrol and diesel will thus come down accordingly," the finance ministry said in a statement.
The statement said states are also being urged to commensurately reduce VAT on petrol and diesel to give relief to consumers.
Also read | Petrol, diesel prices on November 5: Fuel rates stay unchanged
Following this, several states welcomed the central government's decision to cut excise duty on petrol and diesel and slashes rates. Take a look at states which reduced taxes on petrol and diesel:
Karnataka
The Karnataka government has announced slashing their prices by an additional Rs 7 per litre. In a series of tweets on November 3, Chief Minister Basavaraj Bommai said petrol will now cost approximately Rs 95.90 a litre and diesel Rs 81.5 in Karnataka.
He also welcomed the central government's decision to cut excise duty on petrol and diesel by a record Rs 5 and Rs 10 per litre. "Our PM Shri @narendramodi ji has given the nation a wonderful Deepawali gift by reducing the burden of fuel prices. To add to this festive spirit, Karnataka Government too will reduce Rs 7 on both petrol and diesel prices from tomorrow evening.”
"Even though it will mean a loss of Rs 2100 crore to our exchequer, it will bring down the prices for our citizens to 95.90 & 81.50 (Approx.) for Petrol and Diesel respectively. Wishing all a very #HappyDeepavali with this good news once again," the chief minister tweeted.
Gujarat
The Gujarat government has reduced the VAT on petrol and diesel by Rs 7 per litre each, according to the Chief Minister's Office.
Himachal Pradesh
The Himachal Pradesh government has announced that Value Added Tax (VAT) on petrol would be reduced by Rs 2 per litre and Rs 4.60 on diesel. Chief Minister Jai Ram Thakur said petrol would be cheaper by Rs 12 per litre whereas diesel would also be cheaper by Rs 17 per litre in the state.
Haryana
With the Centre slashing excise duty on petrol and diesel, the Haryana government too announced a reduction in VAT on the fuels, making them cheaper in the BJP-JJP-ruled state by Rs 12 per litre on Diwali. Chief Minister Manohar Lal Khattar took to Twitter to announce the measure.
Jammu and Kashmir
The Jammu and Kashmir government hasreduced their prices by an additional Rs 7 a litre. According to a notification issued by the government, VAT will now be levied at 24 percent on petrol and 16 percent on diesel in the union territory.
Odisha
The Odisha government has announced a reduction of VAT on petrol and diesel by Rs 3 per litre each and its implementation in the coastal state. Maintaining that the move was aimed at providing relief to common people, who were distressed by the relentless hike in fuel prices, a statement issued by Chief Minister Naveen Patnaik's office said that the state exchequer will incur an annual loss of Rs 1,400 crore owing to its decision.
Madhya Pradesh
MP Chief Minister Shivraj Singh Chouhan has announced a four percent cut in the VAT and Rs 1.50 cut in the cess on petrol and diesel. As a result, the price of petrol came down to Rs 106.86 and that of diesel to Rs 90.95 per litre in the state capital Bhopal from November 5. In a bid to give relief to the people despite financial constraints, the state government has decided to cut VAT on petrol and diesel by four percent, an official release said.
Bihar
The Nitish Kumar government in Bihar has reduced its VAT rate on petrol and diesel by more than Rs 3 per litre, a day after the Centre slashed excise duty on the products in a bid to provide relief to consumers. An announcement to this effect was made by the Chief Minister on his Twitter handle.
Arunachal Pradesh
Arunachal Pradesh Chief Minister Pema Khandu has announced that his government has reduced the value-added tax rates on petrol and diesel by 5.5 percent, a day after the Centre slashed excise duty on fuel. The revised VAT rates would be applicable in the northeastern state from the midnight of November 5, he said.
Puducherry
The AINRC-led NDA government in Puducherry has announced reduction in VAT on petrol and diesel by Rs 7 per litre which came into immediate effect. Chief Minister N Rangasamy said that with the Centre slashing the excise duty on petrol by Rs 5 and on diesel by Rs 10, the territorial government decided to reduce the VAT on the petroleum products by Rs 7.
Assam
Assam announced a reduction in VAT on petrol and diesel by Rs 7 per litre with immediate effect on November 3, hours after the Centre slashed excise duty on fuel. Lauding the step by the Union government, Chief Minister Himanta Biswa Sarma announced the state government's decision on Twitter.
"Heartening to learn Central Govt decision to reduce excise duty on petrol and diesel. In consonance with the decision of Hon'ble PM @narendramodi, I am pleased to announce that Assam Govt will also reduce VAT on petrol and diesel each by Rs 7/- with immediate effect," he said.
On October 29, Sarma had said the state government was ready to cut its share of taxes on fuel if the high rates continue for a longer period.
Goa
Goa government slashed taxes on petrol and diesel to make them cheaper in the coastal state. Goa chief minister Pramod Sawant, in a message on social media, said the prices of petrol and diesel will be reduced by Rs 12 per litre and Rs 17 per litre, respectively, in the state. He said the reduction in fuel prices is a great Diwali gift given to Indians by the Modi government.
Sikkim
Sikkim Chief Minister Prem Singh Tamang also announced a reduction in taxes on petrol and diesel by Rs 7 per litre, hours after the Centre reduced excise duty on fuel. Together with the reduction of taxes announced by the Sikkim government shortly after midnight, petrol would be cheaper by Rs 12 per litre and diesel by Rs 17 per litre in the state.
"...on the auspicious occasion of Diwali, I would like to announce that the State Government will be reducing the prices of Petrol & Diesel in the state by Rs.7/(seven) per liter as a Diwali gift. This will come into effect starting today i.e 04/11/2021," Tamang tweeted.
Manipur
Manipur announced a reduction in VAT on petrol and diesel by Rs 7 per litre with immediate effect, hours after the Centre reduced excise duty on fuel. "Heartily welcome PM @narendramodi Ji's decision to reduce excise duty on petrol & diesel as a gift to the people of this Nation on this Diwali. I'm also pleased to announce that the Govt. of Manipur will also reduce VAT on petrol and diesel each by Rs 7/- with immediate effect," Chief Minister N Biren Singh tweeted.
The chief ministers of BJP-ruled states and several union ministers also welcomed the Centre's decision to cut down excise duty on petrol and diesel.
Mizoram
The Mizoram government has also slashed petrol and diesel prices by Rs 7 per litre each, Chief Minister Zoramthanga said.
Koo AppMuch gratitude to Hon’’ble PM Shri @narendramodi Ji’s govt for reducing Excise Duty on Petrol & Diesel
by Rs. 5 and Rs. 10 respectively from tomorrow.
This #Diwali gift will double the joy of countrymen & will also boost the economy in this ongoing festive season.- Biplab kumar Deb (@bjpbiplab) 3 Nov 2021
प्रधानमंत्री श्री नरेन्द्र मोदी जी ने पेट्रोल और डीजल पर एक्साइज ड्यूटी कम करने का सराहनीय निर्णय लिया है, इसके लिए प्रदेशवासियों की ओर से प्रधानमंत्री जी का हार्दिक आभार।
दीपावली के मौके पर प्रधानमंत्री जी ने जनता को यह विशेष राहत दी है।
पहाड़ी राज्य हिमाचल में यातायात के साधन पेट्रोल और डीजल पर निर्भर हैं, ऐसे में जनता को इस रियायत का सीधा लाभ मिलेगा।
- Jairam Thakur (@jairamthakurbjp) 3 Nov 2021
Koo Appआदरणीय प्रधानमंत्री जी द्वारा जनहित में पेट्रोल और डीजल पर एक्साइज ड्यूटी कम करने के निर्णय ने दीपावली को अतिरिक्त उल्लास से भर दिया है।
यह निर्णय समाज के हर वर्ग को राहत पहुंचाने वाला है।
सभी प्रदेशवासियों की ओर से आदरणीय प्रधानमंत्री जी का हार्दिक आभार।- Yogi Adityanath (@myogiadityanath) 3 Nov 2021
(With inputs from PTI)
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