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VAT reduction on fuel: Haryana petrol pump owners to stage 1-day strike today

The strike from 6am on Monday till Tuesday 6am has been called by the Haryana Petroleum Dealers Association. Chief minister Manohar Lal Khattar earlier announced that with the Centre's decision to reduce value-added tax (VAT) on fuel prices, petrol and diesel in Haryana will cheaper by 12.

Published on: Nov 15, 2021, 06:06:09 IST
Written by | Edited by , New Delhi
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Petrol pump owners in Haryana will go on a 24-hour strike on Monday to protest the Centre’s move to reduce the value-added tax (VAT) on fuel prices, saying they have been facing loss due to the sudden decision. The strike from 6am on Monday till Tuesday 6am has been called by the Haryana Petroleum Dealers Association.

Till now, 25 states and Union territories including Haryana, have undertaken a commensurate reduction of VAT. (HT file photo)
Till now, 25 states and Union territories including Haryana, have undertaken a commensurate reduction of VAT. (HT file photo)

On the eve of Diwali, the Centre announced a reduction in central levies on petrol by 5 a litre and diesel by 10 a litre, which was seen as a major relief for consumers amid the spike in fuel prices. Till now, 25 states and Union territories including Haryana, have undertaken a commensurate reduction of VAT.

Also Read| BJP questions Opposition ruled states for not cutting excise on fuel prices

Chief minister Manohar Lal Khattar announced that with the Centre's decision, petrol and diesel in Haryana will cheaper by 12.

However, petrol pump owners in the state are not happy with the decision.

“We demand the government to hike our commission and reimburse losses suffered due to sudden cut in excise duty,” Palwinder Singh, state vice president of the petroleum association, told news agency ANI on November 12.

Singh added that because the Centre decided to reduce VAT on petrol and diesel, dealers have faced losses worth lakhs. “Therefore we demand our reimbursement on loss.”

On the other hand, Anil Kumar, state president of the petroleum dealers association, alleged on November 12 that the association had been writing to the Haryana government about its concerns but has not got any response.

"If the government does not listen to us, we will hold a strike,” Kumar told ANI.

Also Read| 25 states, UTs cut VAT on petrol, diesel after Centre's request. These haven't

According to the Union petroleum ministry last week, there are 11 states and UTs which are yet to reduce the VAT on fuel prices. These are Maharashtra, New Delhi, West Bengal, Tamil Nadu, Telangana, Andhra Pradesh, Kerala, Jharkhand, Chhattisgarh and Rajasthan.

The ministry said that following the cut in VAT, prices of petrol are the cheapest in Andaman and Nicobar at 82.96 per litre and 77.13 per litre respectively.

(With agency inputs)