Stating that he was of the opinion that petrol and diesel should be brought under the GST regime, Union petroleum and natural gas minister Dharmendra Pradhan said it is up to the GST Council to decide whether these fuels should be brought under the Goods and Services Tax, which, many believe, would substantially bring down the prices.
The Union minister, who was in Gandhinagar on Monday, blamed the recent surge in global crude oil prices for the fuel price hike in India.
Asked about his stand to include fuel in the GST regime as a measure to give respite to citizens from the price rise, Pradhan said he agrees with the idea. “The price of this commodity is regulated by the global market. As a sector in-charge, I am of the opinion that fuel should be brought under the GST. But, it will be done only when members of the GST Council reach a consensus on it. It is the GST Council which will take a collective decision about it,” he said.
“The prices of petroleum products have gone up. The main reason is that the price of crude oil has gone over USD 70 (per barrel) in the international market. This negatively impacts consumers here, as India imports 80% of its oil requirement,” he said. The minister was responding to a query raised by reporters about the recent fuel price hike.
Petrol and diesel prices have witnessed a steady rise over the past few months. In Ahmedabad, petrol price rose from Rs 81.05 on January 1 this year to Rs 92.28 per litre on Monday, June 7.
In the past one month, petrol price in Ahmedabad has risen by Rs 3.91. Similarly, diesel price rose from Rs 79.55 on January 1 this year to Rs 92.84 on Monday, June 7. In the past one month, diesel price has risen by Rs 4.84.