Breaking News: Punjab Government Increases VAT on Petrol and Diesel Prices
Date: 11 June 2023
The Punjab government on Sunday announced an increase in the Value Added Tax (VAT) on petrol and diesel prices. The Aam Aadmi Party (AAP) government hiked petrol prices by 92 paise and diesel by 88 paise for retail customers.
As a result of this increase, the cost of one litre of petrol in the state will now be ₹98.65, while diesel prices will stand at ₹105.24 per litre in Chandigarh. Prior to this hike, petrol was priced at ₹96.20 per litre and diesel at ₹84.26 per litre in Chandigarh since June.
The state government aims to generate an additional ₹600 crore per annum in revenue through this recent hike in fuel prices.
According to the latest data by Oil Marketing Companies (OMCs), as of June 10th, almost every city in Punjab has petrol rates in the range of ₹98. Among these cities, Jalandhar has the lowest petrol rate at ₹98.06 per litre, while Pathankot has the highest petrol price at ₹99.01 per litre.
In terms of diesel rates, Barnala has the lowest price at ₹88.28 per litre in Punjab, whereas Pathankot has the highest diesel price at ₹89.30 per litre as of June 10th.
This increase in fuel rates marks the second hike under the leadership of Chief Minister Bhagwant Mann's government. Previously, in February, the Punjab state cabinet approved a decision to impose an additional 90 paise VAT on petrol and diesel, with the aim of generating an annual revenue of ₹300 crore.