Remove VAT on petrol, diesel to ease price hike burden: Cong

Gandhinagar, June 9 (UNI) Congress leader of opposition in Gujarat Assembly Arjun Modhvadia today demanded the Narendra Modi government should waive-off the Re one value-added tax (VAT) on petrol and disel to ease the burden on the consumers following the recent price hike.

In a statement here, Mr Modhvadia asked the Modi government to take a cue from the Centre which reduced the excise rate on petrol and diesel from 10 per cent to 2.5 per cent, giving respite of Rs 6,500 crore to the people.

However, the Congress leader defended the decision of Congress-led UPA Government's price hike of Rs four and Rs two on petrol and diesel, respectively, by stating that the rise was inevitable in view of increase of prices in the international market.

Mr Modhvadia said the State government had imposed VAT on the prices of petrol and diesel by Rs 0.75 per litre in April, which was shifted to the consumers. Thus, only due to the VAT component the consumers have to pay Re one more on petrol.

UNI MP GK MSJ KN1552