Raipur:Chhattisgarh Chief Minister Bhupesh Baghel on Thursday said that Prime Minister Narendra Modi is misleading the country on the issue of rising price of petrol and diesel. The fuel prices have increased because of the central government. If VAT (Value Added Tax) is responsible for price hike then why is the price of LPG rising when VAT is no application on it, said the Chief Minister.
Talking to media in the Chhattisgarh Legislative Assembly, Chief Minister Baghel said the Prime Minister Modi was holding a meeting on Corona situation in the country on Wednesday, but instead of focusing on Corona he suddenly raised the issue of petrol and diesel.
The Chief Minister said that the Central Government imposes excise duty, but now it has imposed cess. The entire amount of this cess goes to the Central Government, not the state governments.
\Instead of reducing cess, advices others
Chief Minister Bhupesh Baghel said that the Central Government has to give an amount of Rs 30000 crores to Chhattisgarh. As far as VAT is concerned, 24% VAT is being levied in Chhattisgarh. In the rest of the states, VAT is being levied between 29% and 31%, including BJP ruled states. Instead of reducing the cess, centre is advising others.
\What was said by the Prime Minister
Prime Minister Narendra Modi raised the issue of rising petroleum prices during the online review meeting of Corona on Wednesday. He said that the supply chain has been affected due to the war situation. Challenges are increasing in such an environment. The centre had reduced excise duty on petrol and diesel in November. States were also urged to do the same. Some states reduced VAT but some states did not pass on the benefits to their people, the Prime Minister said in the meeting. Because of this, the prices of petrol and diesel are higher in those states as compared to other states. In a way, this is an injustice to the people of these states, but it also harms the neighboring states. The states which cut taxes lose revenue.
\Leader of Opposition targeted
Leader of Opposition in Chhattisgarh Legislative Assembly Dharamlal Kaushik targeted the state government by mentioning seven states having lower VAT rate than Chhattisgarh. He said that the Congress government, which talked about the inflation of petrol and diesel, had promised to reduce VAT on petrol and diesel in its manifesto. Kaushik provided the comparative figures to the Chief Minister.