Economy

Kerala comes to a standstill on Bharat Bandh day

Kerala comes to a standstill on Bharat Bandh day

The Centre now levies a total excise duty of Rs 19.48 per litre of petrol and Rs 15.33 per litre on diesel.

India is witnessing a surge in the prices of diesel and petrol like never before.

The party has demanded that petrol and diesel should be brought under the GST, by which oil prices could drop by about Rs 15 to Rs 18.

AAP leaders staged a protest at Delhi's Jantar Mantar against the fuel price hike.

Amidst protests and national bandh by the opposition parties on Monday, the Telugu Desam Party government in Andhra Pradesh, an ally of BJP-led NDA government till March, has announced slashing the petrol and diesel prices by Rs 2 a litre. Fuel prices in Delhi are the cheapest among all metros and most State capitals due to lower taxes.

Meanwhile, transporters are gearing up to put pressure on the government to reverse its fuel tax policy.

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On Monday, the ruling Bharatiya Janata Party termed the hike in petroleum products as a "momentary difficulty" owing to an global crisis after the Opposition parties in the country observed a Bharat Bandh, to protest the skyrocketing fuel prices.

This is the biggest increase in rates in any fortnight since the daily price revision was introduced in mid-June past year.

Nearly half of the fuel price is made up of taxes.

Later, amid the constant rise in the prices of petrol and diesel, BJP president Amit Shah on Monday met Oil Minister Dharmendra Pradhan, PTI reported. Giving an example, the official said if petrol is at Rs 83, then Rs 20 goes to states as taxes plus Rs 10 from Centre's devolution. From thereon, there has been some fluctuation, with both hike and cut in prices up till today, when it touched Rs 90.05.

Mumbai has the highest Value-Added Tax of 39.12 per cent on petrol, while Telangana levies the highest Value-Added Tax of 26 per cent on diesel.

If the reports coming from the power corridors of Amaravati, Telugu Desam Party president and Andhra Pradesh chief minister N Chandrababu Naidu is learnt to have made a decision to give relief to the citizens by reducing the Value Added Tax (VAT) on diesel and petrol in the State.


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