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Petrol dealers demand cut in cess, threaten agitation

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Press Trust of India Jaipur
Rajasthan Petrol Dealers' Association today demanded reduction in the road cess on petrol and diesel, which the state had imposed on September 1, and said that if not withdrawn then the association would launch a state-wide agitation.

Rajasthan government on September 1 had raised the road cess on petrol and diesel by 25 paise to Rs 1.25 per litre.

"In next ten days if this very demand is not resolved, RPDA would launch a state-wide agitation in which 4,300 petrol dealers would participate", its state President Sumeet Bagai told PTI here.

"A memorandum to this effect is submitted to the state government including Principal Secretary Finance, PS Food Department and to the Chief Minister Office," he said.
 

The body also asked the government to reduce VAT of 4 per cent raised in December last year.

Bagai added, "RPDA is not at all interested in any meeting with the state government and wants decision within next ten days."

"During our strike call against abrupt rise in VAT from 18 per cent to 22 per cent on December 18, 2014, the state government had set up a committee headed by Principal Secretary Finance and seven other members to address our demands but not a single meeting is convened so far", he said.

"It is surprising that without consulting RPDA, the state government had raised VAT by 4 per cent (from 18 to 22 per cent) on December 18, 2014 and now road cess by 25 paise to Rs 1.25 per litre of petrol and diesel", he said.

Dealers in the state are paying a VAT of 22 per cent and a road cess of Rs 1.25 per litre on petrol and diesel to the state government.

During the first term of the Vasundhara Raje-led BJP government between 2003 and 2008, road cess on petrol and diesel was hiked by 50 paise.

While, after assuming power in 2013 for the second time, it was raised twice, by 50 paise and now 25 paise, Bagai said.

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First Published: Sep 04 2015 | 5:57 PM IST

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