Jaya criticises Centre for hike in excise duty

Tamil Nadu Chief Minister J. Jayalalithaa on Sunday slammed the ruling dispensation at Centre for hiking excise duty on petrol and diesel to meet its revenue deficit, saying the NDA-government is not passing the benefits of the crude oil slump to common man.

"From November 2014 the Central Government has hiked the excise duty on Petrol to 11.33 paise and diesel 13.57 paise.The NDA government not passing he benefits of the crude oil slump to the public," Jayalalithaa said in a statement.

She further said that the present government is following the same policy bought in by the erstwhile Congress Government on allowing the oil companies to determine the price of diesel and petrol.

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"I am vehemently opposing this policy from day one," she added.

The Tamil Nadu Chief Minister also said that if the policy would have been scrapped, the petrol and diesel would have been sold at a cheaper price.

The Centre yesterday hiked the excise duty on petrol by Rs. 1 per litre and Rs 1.50 on diesel, the third increase this month, to mop up over Rs 3,200 crore in additional revenue, netting in all Rs 17,000 crore in three months.

The hike will not result in any increase in retail selling price of the two fuels as it would adjust against the reduction in rates that may have been possible because of the slide in international oil prices.