To protest against Delhi government’s refusal to reduce Value Added Tax (VAT) on diesel and petrol, Delhi Petrol Dealers Association (DPDA) on Monday has decided to close all fuel pumps in Delhi on October 22.
As per DPDA release, there are about 400 Petrol Pumps in Delhi which also have linked CNG pumps with them both will remain closed in protest from 6.00 AM onwards on October 22 and remain closed till 5.00 AM on October 23, 2018.
The apex body of petrol pump owners in capital took this decision to raise their voice against the difference in prices of fuels between Delhi and its neighbouring states, as per the DPDA release.
“The central government had slashed the rate of petrol and diesel by Rs 2.50 per litre each on September 4. This was followed by reduction of Value Added Tax (VAT) by various states including neighboring Haryana and Uttar pradesh bringing relief to their residents. But Delhi government refused to reduce VAT on fuel both petrol and diesel resulting in fuel becoming more expensive than bordering Haryana and Uttar Pradesh “said Nischal Singhania , President, Delhi Petrol Dealers Association (DPDA).
“Both Diesel and Petrol in Delhi has become expensive as the neighboring states have reduced VAT by Rs.2.5 per litre on petrol & diesel. In comparison to Delhi, petrol in UP and Haryana is cheaper by Rs 2.59 and Rs 1.95 per litre, respectively, while diesel in these two states is cheaper by Rs 2.02 and Rs 1.72 per litre, as on October 10. Because of high price in Delhi and low prices in states like UP and Haryana, customers are deserting the petrol pumps in Delhi leading to huge drop in sales”He said.
“Due to difference in prices there has been a sharp drop of 50% to 60 % in sale of diesel in Delhi and 25% in petrol in this quarter. On October 22 all the 400 pumps of Delhi will neither purchase nor sell Petrol, Diesel & CNG in protest for reduction of VAT on Petrol & Diesel in Delhi This festival season is peak season for our sale due to social travelling by residents of Delhi,” he added.
Underlining the gravity of the situation, he further said that almost 200 pumps out of 400 pumps would be on a verge of closing down leading to retrenchment of thousands of workers affecting lakhs of people in the city.
“ Environment friendly Euro VI fuel is only available in NCT of Delhi. There is also an apprehension of interstate smuggling of inferior Euro IV fuel in the city. Emissions of Euro VI fuels are 80% less than the emissions of Euro IV fuels. Dealers would be forced to cut cost by reducing working hours due to loss of sales & revenue,” Singania said.
