Petrol to be cheaper by Rs 8 per litre in Delhi as AAP government decides to cut VAT 

The petrol and diesel prices in Delhi have now become cheaper compared to other cities in the National Capital Region (NCR), Kejriwal said.

Published: 01st December 2021 12:50 PM  |   Last Updated: 02nd December 2021 07:47 AM   |  A+A-

Diesel, Petrol, Fuel

For representational purposes (Photo | EPS)

By Express News Service

NEW DELHI:  There is relief for vehicle owners in Delhi. Chief Minister Arvind Kejriwal on Wednesday ordered a reduction of VAT on petrol in the city. VAT rate has been reduced to 19.42% from 30%. Petrol price will be slashed by Rs 8, following the reduction. From the current price of Rs 103.97 per litre, petrol will now cost Rs 95.97 a litre. 

According to the AAP government, Delhi’s VAT rates are now at a “historic low”. “We have made petrol very cheap in Delhi from today. VAT rates have been reduced from 30% to 19.4%. Petrol and diesel will be cheaper in Delhi than in other cities of the NCR. I hope this will bring huge relief to people of Delhi,” tweeted Kejriwal.

The decision of VAT reduction on petrol was taken at a cabinet meeting chaired by the Chief Minister. According to government officials, Delhi’s diesel price is already the cheapest in NCR at Rs 86.67 per litre, while the rates of diesel in Noida and Gurugram are Rs 87.01 and Rs 87.11, per litre respectively even after the VAT reduction by the governments of Uttar Pradesh and Haryana.

The Delhi government had marginally increased the VAT rate on petrol last year. Back then, there was 27% VAT on petrol in Delhi, which was subsequently raised to 30%. After that, the government had reduced the rate of VAT on petrol by 10.58% to make it 19.42%.

BJP and Congress termed the decision a “delayed measure” and criticised it for doing nothing to bring down the price of diesel. “The CM has no intention to help farmers as he did not reduce VAT on diesel,” said Leader of Opposition Ramvir Singh Bidhuri.


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