Tamil Nadu Budget HIGHLIGHTS |  Petrol to be cheaper by Rs 3 per litre in state as cess is reduced

The TN budget's biggest announcement was made upon the intructions of CM MK Stalin, PTR said, of a move that will be widely cheered.

Published: 13th August 2021 09:46 AM  |   Last Updated: 13th August 2021 04:41 PM   |  A+A-

Fuel price

For representational purpose. (Photo | Ashwin Prasath,EPS)

By Online Desk

The state of TN's finances might be parlous, but Finance Minister Palanivel Thiagarajan still found the courage to announce a Rs 3 cut in the state cess on a litre of petrol. It was done upon the instructions of CM MK Stalin, he said, of the move that will be widely cheered at a time when the pandemic and the lockdown have hit household budgets. Diesel though doesn't get a similar favour.

The budgetary announcement comes a few days after the White Paper released by the finance minister had underlined that public debt stands at ₹2,63,976 per family. Overall debt is ₹5,70,189 crore - five times what it was a decade ago. 

It had also mentioned that money flowing in to the exchequer - revenue receipts - has been dipping: from nearly 12 per cent a decade ago to just 8.7 per cent in FY2020-21. Fiscal deficit grimly stood at a record Rs 61,320 crore ahead of the budget.

There were two elephants in the room also. Power body TANGEDCO, as the White Paper stated, was losing Rs 2.60 for every unit consumed and the transport sector was bleeding Rs 59.15 for every kilometre run. 

Yet, PTR held his horses even as he announced that 1000 new buses will hit the roads soon. "Since the state is yet to recover from the consecutive waves of Covid pandemic, the time for financial reforms is yet to be ripe.We will roll out reform measures to set right the financial situation of the State once the Covid situation improves," he said in a budget speech that surprisingly had no tax hikes, including even on alcohol. The highlights:


Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on are those of the comment writers alone. They do not represent the views or opinions of or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. reserves the right to take any or all comments down at any time.

  • Jasveer

    If we are not allowed to comment freely and fairly
    3 months ago reply
flipboard facebook twitter whatsapp