BHUBANESWAR: Petrol price in the city surged to the second highest rate of Rs 110.96 on Monday while diesel crossed Rs 100 (Rs 100.65) per litre again.
In the state, the maximum prices of petrol and diesel of Rs 116. 37 and Rs 105.93 respectively were recorded in Malkangiri on Monday.
Prices of petrol and diesel increased by 43 and 42 paise respectively on Monday taking the total rise to Rs 8.40 in the last two weeks. This is the twelfth rise in the last 14 days since March 22 after a break of four-and-half-months from November 2021.
The highest prices of petrol and diesel of Rs 111. 25 and Rs 107.38 respectively were recorded in the city on November 3, 2021.
“If petrol and diesel prices increase at this rate then we will not be able to buy anything but only fuel. Our salaries or income has not increased, rather income has gone down due to the Covid pandemic,” said Karunkar Das, a salesman.
The continuous rise in fuel prices has directly affected the prices of essential commodities and various other sectors as well.
The prices of fruits and vegetables have gone up by 10 to 20% due to the constant rise in petroleum products. Middle and lower income group people are bearing the brunt of the situation.
With further rise in prices of petrol and diesel predicted in the coming days, petroleum dealers in the state said it is high time that both the central and state governments should consider revising excise and VAT on fuel.
“There is enough reason for considering revision of excise duty and VAT on petrol and diesel. The Centre has reduced excise duty on petrol and diesel by Rs 5 and Rs 10 respectively while their prices have increased by Rs 10 and Rs 13 during the Covid period. So, the government should reduce the excise duty by Rs 5 and Rs 8 on petrol and diesel respectively,” said Sajay Kumar Lath, secretary of Utkal Petroleum Dealers Association.
On revision of VAT by the state government, Lath said it has been getting additional revenue from diesel as most of the mining, construction and transport contractors have started buying diesel from local dealers instead of from Uttar Pradesh and West Bengal. State government should consider reducing the VAT as it will not affect their revenue, Lath pointed out.
“The steep hike in prices has irked the common man. If a person has to spend a major portion of his income on fuel then he will certainly reduce spending on food and other necessary things. Nothing will be left for savings for the future of one’s kids and in case of emergency one will take out a loan. Is this how the governments are ensuring welfare of people?” said Radhakrishna Behera, a marketing executive.
