Petrol price in Delhi slashed by Rs 8 effective midnight

The Aam Aadmi Party government has decided to reduce VAT on petrol, which will make it cheaper by approximately Rs 8.

The Delhi government has decided to reduce the Value Added Tax (VAT) on petrol to 19.40% from 30%. This will make petrol price decrease by approximately Rs 8 per litre. The new rates will be applicable from midnight on December 1. This will also make the petrol price in Delhi cheapest in the National Capital region.

At a cabinet meeting chaired by Chief Minister Arvind Kejriwal, it was decided that the Value-Added Tax (VAT) on petrol will be reduced from the present 30 per cent to 19.4 per cent, leading to a cut of around Rs 8 per litre, a source told PTI.

The price of petrol after the VAT cut will go down from the current Rs 103 per litre to Rs 95 per litre.

The petrol price in Delhi was higher as compared to the NCR cities in Uttar Pradesh and Haryana, where the state governments had announced a VAT cut following the Centre reducing the excise duty on fuel prices.

Earlier, the Central government had reduced VAt on petrol and diesel, post which many states also did the same.

The Delhi government was also under pressure to reduce the prices as neighbouring Uttar Pradesh and Haryana had done so weeks ago.