Source: News Bharati English06 Mar 2017 13:20:40
Chennai, March 6: A steep increase in the prices of the petrol and diesel in Tamil Nadu by Rs 3.78 and Rs 1.70 respectively, the state government announced following the revising of the Value Added Tax (VAT) on these products. Tamil Nadu Petroleum Dealers Association protested the move and demanded an immediate rollback, saying the hike would affect all sections of society.Many consumers, including motorists, also protested the move. The hike would affect all sections of society even as it came in the wake of periodical revision of rates of petroleum products by the Oil Marketing Companies, he said, adding the state government should therefore, roll back the VAT revision.
Association President K P Murali said VAT on petrol was increased from 27% to 34%, while that on diesel was hiked from 21.4% to 25% with effect from last mid-night.
"This is a steep increase. While the petrol price will immediately affect the motorists, the hike in diesel rate will have a cycle effect on many products, including vegetables as diesel vehicles are predominantly used in the transportation of commodities," he said. Following the hike, the petrol price had touched the Rs 75 mark in Chennai while additional costs like transportation which would add a little more to the rates in other cities and towns such as Tiruchirappalli, Thanjavur and Cuddalore, he added.
Diesel prices were around Rs 63.96 following the VAT revision. On a comparative note, petrol and diesel are priced at Rs 68.13 and Rs 60.18 respectively in Puducherry, Murali said.