Petrol prices in India remained stable after touching new all-time highs as oil marketing companies increased rates on Friday, fuelling hopes that the government cuts excise duties.
Petrol price in Mumbai stood at Rs 93.49, one litre of diesel will cost Rs 83.99 in the city. In Chennai, petrol was at Rs 89.39. Diesel was retailing at Rs 82.39 in the city.
Meanwhile, the Meghalaya government has decided to reduce the tax on petrol and diesel in the state by Rs 2 per litre from Monday midnight, Chief Minister Conrad K Sangma.
"In view of the recent price hike in petrol and diesel in #Meghalaya, Govt. has decided that the rate for both petrol and diesel will be reduced by 2 rupees per litre, effective from midnight of 8th February 2021," the chief minister tweeted on Sunday.
The state government's decision to reduce rates comes days after local taxi operators in the state capital here protested against the high taxes in petrol in the state. The price of petrol is little over Rs 90 per litre in the state capital.
Chhattisgarh Chief Minister Bhupesh Baghel on Sunday demanded that cess on petrol and diesel introduced in the Union Budget should be withdrawn claiming that it would result in inflation.
"Cess on petrol and diesel introduced in the Union Budget should be withdrawn. It will burden the common people and cause inflation. It is not good if only the Centre receives the cess revenue," Baghel told the reporters on Sunday.
During his budget speech, Union Finance Minister Nirmala Sitharaman had announced the imposition of Agriculture Infrastructure and Development Cess (AIDC) of Rs 2.5 per litre on petrol and Rs 4 per litre on diesel. However, there would be no additional burden on the consumer overall as Sitharaman during Budget presentation also proposed to reduce Basic Customs Duty on these items.