BJP protesters close down petrol stations in south Orissa
To reduce the impact of hike in prices of petroleum products on the people in the state, the Orissa government has decided to waive four per cent Value Added Tax (VAT) on LPG and kerosene supplied through the Public Distribution System (PDS).
"As you are all aware, the Government of India has hiked the prices of petroleum products. This has given a blow to the people of the country, especially the middle and low income groups. As a measure of relief, my government has decided that VAT will be completely waived on LPG and PDS kerosene. This is the maximum relief that the state can offer to the people”, Chief Minister Naveen Patnaik told mediapersons.
The VAT exemption on LPG and PDS kerosene would mean a relief of Rs 16 per LPG cylinder and a burden of Rs 40 crore per annum on the state exchequer.
He, however, ruled out the possibility of a further cut in VAT on diesel.
"As far as diesel is concerned, the state government has already brought down the VAT on diesel to 18 per cent some time back, one of the lowest in the country. It would not be possible for a poor country like Orissa to bring it down further. I urge upon the Government of India to reduce diesel prices so as to bring some relief to the people”, Patnaik said.
Meanwhile, petrol stations in several parts of the state were forced to close their shutters for about two hours when the supporters of BJP’s youth wing staged demonstration at the filling stations.
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The activists of Bharatiya Janata Yuba Morcha (BJYM) closed the filling stations as a part of their state-wide economic blockade, protesting the recent hike in prices of petroleum products.
“We closed the petrol pumps as a part of our state-wide economic blockade in protest against the Central government’s recent hike in prices of diesel, kerosene and LPG cylinder”, president of BJYM state unit president Bibhuti Jena said.
Terming the recent hike as unwarranted, he said the price rise of petroleum products would fuel price hike of essential commodities. The Centre had hiked the price of LPG cylinders by Rs 50, while raising the diesel and kerosene prices by Rs 3 and 2 per litre respectively.