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Delhi petrol pump dealers threaten to go on indefinite strike

Last Updated: Sunday, May 23, 2010 - 17:33

New Delhi: Petrol pump dealers in Delhi
Sunday threatened to go on indefinite strike from June 14 to
protest hike in VAT on diesel that has made the fuel costlier
in the national capital compared to the neighbouring states.

"Our pleas to the Delhi government have gone unheeded, so
we are left with no option but to go on indefinite strike,"
Delhi NCR Petrol Dealers Association President Ajay Bansal
said here.

On May 14, the petrol pump dealers had closed their
shutters for 24 hours pressing for their demand.

"The pumps will remain shut on every Monday beginning May
24," he said, adding, "If our demands are not met we will go
on indefinite strike from June 14."

Bansal said sales are drying up as the differential
between diesel prices in Delhi and Haryana is nearly Rs 4 per

In June 2008, Haryana reduced VAT on diesel to 8.8 per
cent from 12 per cent, thereby making it cheaper than Delhi
where VAT on fuel was 12.5 per cent.

"From 13.5 crore litres a month, the sales of diesel in
Delhi came down to 8.5 crore litres a month (loss of 37 per
cent)," he said.

The already "bleeding" dealers were dealt with another
blow when the Delhi government from April 1 raised VAT on
diesel to 20 per cent. "This has resulted in a difference of
almost Rs 4 per litre in the prices of diesel between Delhi
and Haryana," Bansal said.

Delhi is bordered from all sides, but east, by Haryana.
The increase in VAT has made diesel in Delhi more expensive
than even Uttar Pradesh, which is east of Delhi.


First Published: Sunday, May 23, 2010 - 17:33
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