Strike Alert: Fuel Pumps in Rajasthan to Shut Indefinitely from September 15 Due to High VAT Protest

The Rajasthan Petroleum Dealers Association has called an indefinite strike starting September 15, protesting against high VAT on fuel. The association claims around 6,700 fuel pump owners are participating in the strike.

The Rajasthan Petroleum Dealers Association has declared an indefinite strike from September 15, protesting against the high Value Added Tax (VAT) imposed on fuel in the state. This move is expected to result in a complete shutdown of all filling stations across Rajasthan.

Strike Announcement

Rajendra Singh Bhati, the president of the association, released a statement on Thursday announcing that all filling stations in Rajasthan would cease buying and selling goods from/to depots starting at 6 am on September 15. Prior to this decision, the association had held symbolic strikes on Wednesday and Thursday to demand equalisation of VAT on petrol and diesel, akin to what is practiced in Punjab.

Executive Meeting Decision

The executive meeting of the association took place on Thursday evening where it was unanimously decided to hold a statewide indefinite strike beginning at 6 am on September 15. The announcement was made through an official statement by the association. According to officials from the association, approximately 6,700 fuel pump owners are participating in this strike action.

VAT Disparity

Sunit Bagai, former chief of the association pointed out earlier that VAT rates for fuel in Rajasthan are higher than those observed in Haryana, Punjab, Uttar Pradesh and Gujarat. He noted how people living near border areas tend to travel into these neighbouring states for acquiring their fuel due to this price disparity.

Impact On Bordering Areas

This trend has led several petrol pumps situated particularly within Hanumangarh and other bordering regions of Rajasthan shutting down over recent years as they were unable sustain operations amidst mounting losses. Residents preferred travelling short distances into neighbouring states for purchasing petrol and diesel rather than buying locally due high VAT induced prices which have adversely affected local businesses.

In conclusion,the indefinite strike by the Rajasthan Petroleum Dealers Association is a significant move to protest against high VAT rates on fuel. The association aims to bring about an equalisation of VAT on petrol and diesel in line with other states like Punjab, Haryana, Uttar Pradesh and Gujarat. The outcome of this strike could potentially influence future tax policies pertaining to fuel in the state. However, how long the consumers will have to bear the brunt of this shutdown remains uncertain as it largely depends on when and how the government responds to these demands.