Congress-ruled Punjab govt advert reveals how Congress-ruled Rajasthan govt has far more costly gasoline: All you have to know

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On November 8, the newspapers in Punjab revealed a full-page advertorial of the Punjab Government saying lowered gasoline value and evaluating the worth with the neighbouring states. Interestingly, the 4 states that the advert listed had Rajasthan in it, dominated by none aside from Congress.

Full-page advert in The Tribune evaluating gasoline costs between Punjab and neighbouring states. Source: Tribune

Notably, on November 7, days after centre and BJP-NDA-ruled states slashed gasoline costs, the Congress-ruled poll-bound Punjab authorities introduced a drop in Value Added Tax (VAT). The gasoline value within the state got here drastically down in comparison with the previous value and now stands at Rs. 95 per litre for petrol and Rs. 83.75 per litre for diesel. Notably, CM Charanjit Singh Channi had already lowered electrical energy costs for home customers by Rs. 3 within the state.

The advert in contrast the worth with Delhi, the place the AAP-led authorities didn’t scale back VAT, and the worth of petrol nonetheless stands at Rs.104.01, and diesel, it’s 86.71 per litre. The value distinction from BJP-ruled Haryana is merely 29 paisa for petrol and Rs. 2.78 for diesel.

However, what got here as a shock within the advert was the worth comparability with the neighbour state of Rajasthan. The Congress-rules Rajasthan has categorically refused to cut back VAT to supply extra aid to the folks of Rajasthan after the centre lowered the excise obligation. Because of the stubbornness of the Gehlot-led authorities, the worth distinction of gasoline between two Congress-ruled states is astonishing.

Petrol stands at Rs.116.27 in Rajasthan after the discount of excise obligation which means Punjab is now promoting petrol at Rs.21.27 cheaper than Rajasthan. The case is much like diesel. The value of diesel in Rajasthan is Rs. 100.26, which implies it’s now Rs. 16.51 cheaper in Punjab.

Price distinction resulting in large-scale gasoline smuggling

Furthermore, the worth of gasoline has at all times been decrease in Punjab in comparison with Rajasthan. But the latest drop in excise obligation by centre and VAT by the state authorities has elevated the worth hole exponentially. There have been stories of petrol and diesel being smuggled in Rajasthan from Punjab up to now, however from the final couple of days, it has turn into headlines throughout state media.

According to a report in Hindi Daily Dainik Jagran, farmers from Ganganagar, Rajasthan, have been visiting the neighbouring metropolis Abohar in Punjab with drums to get low-cost petrol and diesel. Due to the sowing season, the consumption of gasoline will increase in each Punjab and Rajasthan. Amidst the drop in gasoline costs in Punjab, the farmers want to face in lengthy queues to get cheaper gasoline.

Jagran revealed photographs of farmers with 100-litre drums of their autos. Assuming one farmer is taking 300-litre diesel for his tractor from Punjab as a substitute of Rajasthan, he’s shortly saving round Rs. 4,000 throughout sowing season simply by spending a few hours within the queue on the petrol pump. The state of affairs is similar throughout Punjab and Rajasthan borders.

Customers from Rajasthan shopping for gasoline in drums from Punjab. Source: Jagran

OpIndia reached out to a couple petrol pump homeowners in Punjab which are situated near the Rajasthan border. Sanjeev Verma, Verma Sons (HP Petrol Pump), Gaushala Road, Abohar, stated as his outlet is within the coronary heart of the town, there may be not a lot distinction within the footfall of the purchasers. However, “the outlets that are on the Ganganagar road are experiencing a major jump in the number of customers,” he added.

Verma additional added that the gasoline value distinction in Punjab and Rajasthan is behind main lack of tax income for Rajasthan as folks usually journey just a few KMs and get their tanks stuffed from Petrol Pumps in Punjab.

We additionally had a dialog with Vikas Bishnoi, Secretary, Sri Ganganagar Petroleum Dealers Association, concerning the value distinction between the 2 states. Bishnoi stated, “There is nothing to talk about the price difference. It is more than Rs. 20 per litre. The petrol pumps in Rajasthan cannot survive with such price differences across states. It is a matter of just two months. We are already losing business. We won’t even have to close down the pumps as they will close down on their own due to lack of business.”