Koda prices diesel at Rs35.57/l, gas at Rs315.20

Consumers in Jharkhand can now avail a concession of Rs 1.10 per litre on diesel and Rs 40 per cylinder on cooking gas.

The new rate of diesel and cooking gas in Jharkhand would be Rs 35.57 per litre and Rs 315.20 per cylinder. However, the state government had not announced any cut in the sales tax rate on petrol maintaining that any decision on cut in petrol's sales tax would be taken after the empowered committee meeting proposed to be held in New Delhi on June 16.

According to state chief minister Madhu Koda the concession extended to the consumers on diesel and LPG cylinder would cause an estimated revenue loss of around Rs 225 crore per annum on the state's exchequer.

The CM said that the revenue loss of the state due to cut on diesel's sales tax and subsidy on LPG cylinder would be compensated through hiking the rate of taxes on minerals, liquors and forest products.

Koda said that the state government decided to reduce the sales tax on diesel and allowed some subsidy on gas as the Prime Minister Manmohan Singh and the UPA chairperson Sonia Gandhi had advised the states to reduce the sales tax on petroleum products.