Chandigarh: The Punjab Government has refused to accept the suggestion of Congress high command reduction of VAT on fuel in the State. Talking to Daily Post, the said that State not in a position to decrease the fuel price as it has limited resources to run the State. He also said if Centre is ready to reduce the rate of VAT of fuel, then the Punjab will also do the same. He told that reduction of Rs one in petrol and diesel price will cost to state RS 520 crore annually. Quoting Rajasthan, which has reduced the fuel price by Rs two per liter, Manpreet said , Rajasthan is election-ridden state and ruling party BJP knows not to return in power and it can do.
There was pressure of party high command on the Congress ruled Punjab Government to reduce the VAT rate on fuel. Sources from the CMOs, while confirming it, told that the State Government was in dilemma as VAT of petroleum products is one of the solid support for state’s finance. Punjab is the third after the Maharashtra and Karnataka , across the country , which has been recovering maximum VAT on petroleum products. A day before the rate of petrol was Rs 86.11 and diesel Rs 72.68 per liter in the Punjab. After the Andhra Pradesh and Rajasthan, the West Bengal Government has also announced to reduce the rate of fuel by Rs one per liter, today.
Manpreet told that it seems no end of fluctuation in fuel and dollar rate in International market, therefore the Government of India should attach the rates of fuel with GST as it is the motto of Modi Government ‘ One Nation-one price’. He expressed that state has Education, Health, Agriculture and local body department Burdon and fuel is one of the income source to run the public interest system. He told that it was Central Government , who has increased excise duty on fuel nine times in two years, but the Punjab had increased excise duty 10 years ago , which is still going same. He revealed that Punjab is the alone state across the country, who has lowest VAT on diesel as the farmers use diesel maximum.