Guwahati News Desk: After the Centre on Wednesday reduced excise duty on petrol and diesel, Assam Chief Minister Himanta Biswa Sarma has announced a reduction in VAT on fuel by Rs 7 with immediate effect. That means Petrol will be cheaper by Rs 12 and Diesel will be cheaper by Rs 17 with immediate effect.
Heartening to learn Central Govt decision to reduce excise duty on petrol and diesel. In consonance with the decision of Honble PM @narendramodi, I am pleased to announce that Assam Govt will also reduce VAT on petrol and diesel each by Rs 7/- with immediate effect @nsitharaman
— Himanta Biswa Sarma (@himantabiswa) November 3, 2021
Earlier in the day, buckling under pressure, the government cut excise duty on petrol and diesel by a record Rs 5 and Rs 10 per litre to help bring down rates down from their highest-ever levels.
The excise duty reduction is effective from November 4 when petrol price will come down from the current rate of Rs 110.04 a litre in Delhi to Rs 105.04. The diesel rate will be reduced from Rs 98.42 per litre to Rs 88.42.
“Government of India has taken a significant decision of reducing Central Excise Duty on petrol and diesel by Rs 5 and Rs 10 (per litre) respectively from tomorrow. Prices of petrol and diesel will thus come down accordingly,” the finance ministry said in a statement
This is the highest-ever reduction in excise duty and rolls back a part of the Rs 13 and Rs 16 per litre increase in taxes on petrol and diesel effected between March 2020 and May 2020 to avoid passing on to consumers the sharp fall in international oil prices.