Hyderabad: The price of petrol in Hyderabad is now costlier than other metros like Delhi, Mumbai, Chennai and Bengaluru. Similarly price of diesel in Hyderabad is costlier than other metros like Delhi, Chennai and Bengaluru.
In Delhi, petrol costs Rs 58.91 per litre, while diesel costs Rs 48.26. In Mumbai, petrol costs Rs 66.36 and diesel Rs 55.47. In Chennai, petrol costs Rs 61.38 and diesel Rs 51.34. In Kolkata, petrol costs Rs 66.64 and diesel Rs 52.99. In Bengaluru, petrol costs Rs 64.72 and diesel Rs 52.49.
The Centre too has been resorting to ‘back door taxation’ increasing excise duty on rupee terms and not on percentage terms. Petrol price was supposed to be cut by Rs 4 from Saturday but the Rs 2 excise duty hike by the Centre and Rs 2 VAT hike by state government negated the reduction in fuel prices.
The 31 per cent VAT being collected now is already the highest in the country and to cover up this the government came out with a new argument that there is no increase on quantum of VAT but only Rs 2 hike on retail prices. The TS government has been losing nearly Rs 7 crore per month for every Rs 1 reduction in fuel prices.
With petrol prices coming down by over Rs 15 per litre since August last, the government lost nearly Rs 500 crore. The total loss for TS for the financial year 2014-15 has been pegged at Rs 1,500 crore.
VAT is the major revenue source for the state and the governments is struggling to recover these losses. It has added to the woes of TS which is already reeling under financial crisis.
