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There Will Be No Impact On Price Of Fuel After Coming Under GST: Sushil Kumar Modi

DIVYIA ASTHANA | 0
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| May 27 , 2018 , 08:07 IST

Bihar Deputy Chief Minister Sushil Kumar Modi, who is also a member of the GST Council, on Saturday dismissed the views of other politicians that inclusion of fuel under the Goods and Services Tax (GST) would reduce fuel prices that have been hiked consecutively in the past 10+ days.

The hikes in the price of petrol and diesel have put strain onto the general public relying on fuel for their day-to-day commute, and pressure onto the Central government to control the sky-rocketing fuel prices.  

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BJP's Sushil Kumar Modi called it a misconception that bringing petroleum products under GST would lead to lower fuel prices.

"It is a huge misconception (among people) that price of petroleum products will be reduced significantly if they are brought under GST ambit," Sushil Kumar Modi said to media.

"There will not be any impact on the price of fuel even after it comes under GST... At best, the impact will be negligible," the senior BJP leader said.

Union Petroleum Minister Dharmendra Pradhan has been advocating the inclusion of petroleum products under GST and in early April had appealed to the GST Council as well "that this product has to come under GST so that the consumer can benefit from price rationalisation".

According to the government, the high price of petrol and diesel is due to rising costs of crude oil in the international market, especially after US withdrew from the Iran nuclear deal and re-imposed sanctions on the oil producing country.

Petrol prices as of Saturday stood at Rs 77.97 per litre in Delhi and Rs 85.78 per litre in Mumbai, while diesel price was Rs 68.9 per litre in Delhi and Rs 73.36 per litre in Mumbai.