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Delhi petrol pumps to remain shut today as dealers protest state government’s refusal to cut VAT on fuel price

Bordering states like Uttar Pradesh and Haryana have reduced VAT, said the association.

Edited by: India TV News Desk, New Delhi [ Updated: October 22, 2018 0:01 IST ]
Image Source : PTI

Delhi petrol pumps to remain shut tomorrow 

All 400-odd petrol pumps in the national capital will remain closed from 6 am on Monday till 5 am on Tuesday, in protest against the Delhi government's refusal to cut VAT on petrol and diesel, said the Delhi Petrol Dealers Association (DPDA).

A statement by the association said, “There are about 400 petrol pumps in Delhi which also have linked CNG pumps with them. Both will remain closed in protest from 6.00 am onwards on October 22 and remain closed till 5.00 am on October 23, 2018.”

The Union government slashed the petrol and diesel price by Rs 2.50 on October 4, by reducing excise duty and asking state-owned oil firms to bear subsidy, it said.

This was matched by several states which reduced local sales tax or VAT.

The association further said bordering states like Uttar Pradesh and Haryana have reduced VAT.

"But Delhi government refused to reduce VAT on fuel both petrol and diesel resulting in fuel becoming more expensive than bordering Haryana and Uttar Pradesh," it added.

"Because of high price in Delhi and low prices in states like UP and Haryana, customers are deserting the petrol pumps in Delhi leading to huge drop in sales," it said.

Petrol in Haryana and Uttar Pradesh is cheaper by Rs 2.59 and Rs 1.95 per litre respectively, as compared to the rates in Delhi.

Diesel in these two states is cheaper by Rs 2.02 and Rs 1.72 per litre, respectively.

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