New Delhi: Petrol and diesel prices remained steady on December 5 following the Centre’s excise duty drop to bring retail rates down from record highs, as per the price announcement from state-owned fuel retailers.
Petrol prices in Delhi remained unchanged at Rs 95.41 per litre, three days after the government decreased value-added tax (VAT) from 30% to 19.4%, resulting in a Rs 8 per litre reduction. In Delhi, the price of diesel remained steady at Rs 86.67 per litre.
On November 3, the government reduced excise duty on petrol by Rs 5 per litre and diesel by Rs 10 per litre to provide comfort to customers who have been hit by record-high retail gasoline costs.
In other metro cities, the price stayed the same. The price of petrol in Mumbai fell to Rs 109.98 a litre on November 4. On December 4, the pricing remained unchanged. On the day, the price of diesel remained steady at Rs 94.14 per litre.
In Kolkata, the rates of petrol and diesel remained steady at Rs 104.67 per litre and Rs 89.79 per litre, respectively.
A litre of petrol was sold in Chennai for the same price of Rs 101.40. The price of diesel remained steady at Rs 91.43 per litre as well.
The excise tax drop was the largest reduction in excise duty in history. In addition to lowering the excise charge, the union government requested states to lower the value-added tax (VAT) on gasoline and diesel to provide assistance to customers.
As a result, numerous states and union territories have reduced VAT to provide additional relief to consumers who have been hit by record-high retail prices. Ladakh, Karnataka, Puducherry, Jammu and Kashmir, Sikkim, Mizoram, Delhi, Himachal Pradesh, Daman and Diu, Dadra and Nagar Haveli, Chandigarh, Chhattisgarh, Assam, Madhya Pradesh, Tripura, Gujarat, Nagaland, Punjab, Goa, Meghalaya, Odisha, Rajasthan, Rajasthan, Arunachal Pradesh, Manipur, Andaman and Nicobar.
Congress-ruled Maharashtra, Jharkhand, and Tamil Nadu are among the states that have yet to cut their VAT. West Bengal, which is administered by the TMC, Kerala, which is governed by the Left, Telangana, which is governed by the TRS, and Andhra Pradesh, which is governed by the YSR Congress, have all refused to reduce VAT.
Congress-ruled Punjab has had the largest fall in petrol prices in the country as a result of the most significant reduction in local sales tax or VAT, while the UT of Ladakh has seen the largest reduction in diesel rates for the same reason.