Maharashtra Chief Minister Eknath Shinde announced on Thursday that the newly formed government has decided to reduce the Value Added Tax (VAT) levied on petrol and diesel prices. Petrol prices have been reduced by Rs 5 per litre, while diesel prices have been reduced by Rs 3 with immediate effect.
Shinde, who was sworn in as Maharashtra’s chief minister earlier this month, presided over a cabinet meeting on Thursday. Shinde estimated that the decision would cost the state exchequer Rs 6,000 crore.
Shinde added that following the Centre’s reduction in petrol-diesel prices a few months ago, some state governments extended similar reliefs, and now it has been extended even in Maharashtra.
The decision, according o Deputy Chief Minister Devendra Fadnavis, is part of the Shiv Sena-BJP government’s commitment to people’s welfare and will directly benefit the masses.
After the price cut, petrol price in Mumbai will come down to Rs 106.35 per litre from Rs 111.35 per litre earlier, while diesel price will be cut to Rs 94.28 per litre, down by Rs 3 from the present Rs 97.28 per litre.
In Pune, petrol price will be Rs 105.88 per litre, while diesel will be priced at Rs 92.37 for one litre. The price of one litre of petrol in Thane will come down to Rs 106.49 after the new rates are implemented. Diesel price in Thane will be reduced to Rs 94.42 per litre.
In his first announcement after taking charge as the Maharashtra CM, Eknath Shinde on July 4 announced that the state government will reduce the VAT on petrol and diesel prices.
Earlier this month, the Maharashtra government, led by Uddhav Thackeray, reduced the VAT on petrol and diesel rates by Rs 2.08 and Rs 1.44 per litre, respectively. The move came after the central government announced a tax cut on petrol of Rs 8 per litre and diesel of Rs 6 per litre on May 21.
