Barely a week after Andhra Pradesh and West Bengal announced a cut in fuel prices, Karnataka has chose to follow suit. BJP-ruled Rajasthan was the first state to announce a 4 percent reduction in Value Added Tax (VAT) on petrol and diesel on 9 September. Since the beginning of this month, petrol prices have risen by around Rs 3.35 per litre while diesel rates have gone up by Rs 3.57 per litre. The following cut in fuel prices come even after the petrol and diesel prices were increased in several parts of the country. The Chief Minister has announced a Rs 2 cut in the cess of both petrol and diesel.
Petrol prices in at least 12 cities in Maharashtra - Parbhani, Nandurbar, Nanded, Latur, Jalna, Jalgaon, Hingoli, Gondia, Buldhana, Beed, Aurangabad and Ratnagiri - crossed the Rs 90-mark for a litre by Sunday.
The recent surge in transportation fuel prices is attributed to high crude oil prices and a falling rupee. "In Parbhani, the prices are high as the city gets its fuel supply from Solapur depot, which is about 275km away", said a petrol pump owner from Parbhani.
Both petrol and diesel prices are at all-time highs.
Diesel price in Kolkata rose to Rs 75.15, from the previous Rs 74.93 per litre on the same day. "Though the state is faced with a deficit budget, we have made a decision to reduce the tax and ease the burden on people", The Indian Express quoted him as saying.
The rising fuel prices have become political, with the Opposition launching an all-out attack targeting the Narendra Modi government at the Centre.
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