Rising petrol and diesel prices amid lockdowns are a drought-like situation for people. In Delhi, the price has been hiked in states like Nagaland, Assam, and Meghalaya ahead of a sharp hike in VAT on petrol and diesel. Perhaps the possibility of additional VAT or cess on petrol and diesel in other states of the country cannot be ruled out.
Recently, the northeastern Indian state of Nagaland hiked prices of petrol and diesel by imposing a Covid-19 cess. Nagaland had hiked petrol by Rs 6 and diesel by Rs 5 per liter at midnight on April 28. So the Assam government also increased petrol by Rs 6 and diesel by Rs 5 per liter.
In Assam, petrol is being sold at Rs 77.86 per liter from Rs 71.61 and diesel at Rs 70.50 per liter from Rs 65.07. In Assam, the price hike took effect from 12 noon on April 22.
In Meghalaya, a liter of petrol costs Rs 74.9 and diesel Rs 67.50. In Meghalaya, it is 31 percent or Rs 17.6 per liter on petrol and 22.5 percent or Rs 12.5 per liter on diesel. In Meghalaya, a 2 percent sales tax surcharge will be levied on both petrol and diesel.
India is the world’s third-largest importer of crude oil. India imports 85% of its crude oil from abroad. However, amid global crude oil prices, India has stockpiled 32 million tonnes of crude oil. But amid the deteriorating economic situation in the lockdown and the depreciating rupee against the dollar, the Aam Aadmi Party of India has not been able to take advantage of falling global prices of petrol and diesel.