Haryana petroleum dealers to go on indefinite strike

Haryana-based petroleum dealers today said they will go on an indefinite strike from July 20 in protest against the non-fulfillment of their demands by the state government.
"We have today decided to go on indefinite strike from July 20 as our demands were not met by the Haryana government despite assurances given to us," Haryana Petroleum Dealers Association Senior Vice President Palwinder Singh Oberoi said today.
This decision was taken after a resolution was passed by state petroleum dealers in a meeting held in Rohtak today.
There are as many as 2,310 fuel pumps in Haryana, he said.
Petroleum dealers were agitated over the alleged failure of Haryana government in keeping the tax on diesel lower than that of neighbouring states for the "survival" of fuel pump owners.

"We were assured by the Haryana BJP Chief Subhash Barala that whenever Value Added Tax is raised on diesel, it will be 1-2 per cent lower than the rates prevailing in neighbouring states," claimed Oberoi.

But the state government raised VAT on diesel which was almost equal to neighbouring states, a move which will hit the sale of diesel, he further said.
Dealers claimed that out of total diesel sale of 53 lakh kilo litres per annum, 70 per cent is consumed by vehicles, including truck operators belonging to other states.
"Only 30 per cent diesel is consumed within the state," claimed Oberoi.

"After hike in VAT on diesel in Haryana, the fuel will now be cheaper in other states where rate of VAT is lower. Transporters coming from several states like Kerala, Karnataka, Andhra Pradesh will not buy diesel from Haryana.
"They will go to other states where diesel is cheaper which will ultimately kill our business," said Oberoi.
Dealers have been demanding the removal of 5 per cent surcharge on VAT and landing cost of crude oil at Panipat refinery from the state government.
Punjab and Haryana yesterday raised Value Added Tax (VAT) on diesel.
While the SAD-BJP led government hiked VAT on diesel to 13.4 per cent, the neighbouring BJP government in Haryana jacked up the tax to 16.4 per cent on the commodity.

After adding local levies like cess and surcharge, the effective rate of tax on diesel in Punjab and Haryana became 17.29 per cent and 17.22 per cent, respectively.
After factoring in hike in tax and Rs 2 per litre cut in fuel by oil marketing companies, retail rate of diesel in Punjab dropped by Rs 1.25 per litre while in Haryana the price remained almost the same, dealers said.