Home ODISHA LATEST Odisha govt hikes prices of petrol, diesel even before budget is passed

Odisha govt hikes prices of petrol, diesel even before budget is passed

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Reported by Chinmaya Dehury 

Bhubaneswar, June 18:

In an unprecendented move,  the Odisha government has hiked the prices of petrol and diesel in the state with effect from today

Fuel Price Hike After Odisha Finance Minister Pradip Kumar Amat proposed to increase tax in petrol and diesel in budget presented on Tuesday, the Finance department has issued a formal notification with the increased rate of the two commodities.

The move has surprised many, especially because the budget is yet to be passed in the Assembly.

Making an amendment in the Odisha Value Added Tax, 2004 (Odisha Act 4 of 2005), the department has hiked petrol to Rs 71.89 and diesel to Rs 61.65 a lite in Bhubaneswar.

Similarly, the new rate for other cities of the state have also been notified. While petrol would now cost Rs 71.55 and diesel Rs 61.35 in Cuttack, it will be Rs 71.89 and Rs 61.65 in Sambalpur, Rs 71.55 and Rs 61.35 in Balasore repectively.

The new budget has proposed to raise the tax rate on petrol and diesel from 18% to 20%. The government estimate is that the increase in tax rates in the two categories will fetch additional revenue of Rs 375 crore per annum.

Meanewhile, the opposition parties have raised the issue in the Assembly by bringing an adjournment motion. Congress leader Tara Prasad Bahinipati has questioned the state government’s move by asking how the hike was implemented at a time when the proposed budget is yet to be passed in the Assembly.