Bhubaneswar: The Biju Janata Dal (BJD) has urged the Odisha government to reduce the state’s Value Added Tax (VAT) on petrol and diesel, following the Centre’s decision to lower excise duty on the fuels by Rs 10 per litre.
Even as Chief Minister Mohan Majhi lauded the Centre’s ‘decisive’ and ‘timely’ move, the BJD described it as a routine response and called for concrete action at the state level to provide relief to consumers. “A global fuel crisis has emerged amid the ongoing conflict between Israel, the United States, and Iran, and it has created uncertainty among the public regarding the availability of petrol, diesel, and cooking gas. Although the government has repeatedly assured that there is no crisis, such assurances have not been able to dispel public concerns,” BJD spokesperson and media coordinator Lenin Mohanty said in a press statement.
Mohanty noted that the Centre’s excise duty reduction came without a clear explanation of its rationale. “It could be a pre-emptive step to cushion potential public backlash in case international supply disruptions lead to higher fuel prices in the future. Ensuring uninterrupted supply of fuel has now become the biggest challenge before the government,” he added.
The BJD leader pointed out that Chief Minister Majhi’s welcome of the Centre’s decision appeared to be a standard political reaction. “If the Chief Minister is truly concerned about providing relief to the people of Odisha, he should immediately reduce the VAT levied by the state government on petrol, diesel, and cooking gas,” he said, while reminding the BJP of its similar stance while in Opposition.
Mohanty further mentioned that Odisha currently imposes one of the highest VAT rates in the country at 28% on petrol and diesel in comparison to Maharashtra and Madhya Pradesh, which charges 25% each, while Rajasthan levies only 19%. “Therefore, the state government should go beyond merely welcoming the Centre’s decision and take meaningful steps by slashing VAT in the larger interest of the people of Odisha,” he added.
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