With the Punjab cabinet approving an increase in the value-added tax (VAT) on petrol and diesel, fuel rates in Mohali will be the highest in the Tricity.
Punjab cabinet okayed VAT hike by 61 paise per litre on petrol and 92 paise per litre on diesel.
The decision triggered an uproar amongst the general public as well as the Punjab Petroleum Dealers Association (PPDA).
The petrol in Mohali will now cost Rs 97.62/litre. In comparison, petrol rate in Panchkula is Rs 95.83/litre and 94.29/litre in Chandigarh.
The diesel rate in Mohali is second highest at Rs 88.13/ltr which is just Rs 0.52/ltr lower that Panchkula at Rs 88.65/ltr. Diesel price once again is lowest in Chandigarh at Rs 82.40/ltr.
The Punjab Petroleum Dealers Association (PPDA) has expressed serious concern over the increase in VAT on diesel and petrol in Punjab. The association urged the state government to rollback the hike to bring VAT structure in parity with the neighboring states.
The recent VAT increase will have far-reaching and devastating consequences for the already struggling petroleum industry in the state, dealers said. “We the petroleum dealers are already facing a significant decline in sales due to neighboring state & UT offering lower VAT on fuel. This increase will only exacerbate the situation, leading to a substantial loss of revenue for both petroleum dealers and state government,” said the PPDA president.
“We request the state government to take immediate action to address our concerns and bring VAT rates in line with neighboring states. This will help arrest the decline in sales, prevent further loss of revenue, and protect the interests of petroleum dealers and the state government,” he added.
Mohali deputy mayor Kuljit Singh Bedi also denounced the Punjab government’s decision to hike VAT on diesel and petrol and steep rise in electricity tariffs by Rs 3 per unit for bills up to 7 kilowatts. He asserted that the Aam Aadmi Party’s true exploitative character has now been unmasked. He accused the party, which professed to usher in change, of implementing policies that overburden the common populace.
Bedi said VAT hike on fuel will lead to price hike in daily necessities, impacting the common man’s financial resources.
