Connect with us
Tuesday,12-August-2025
Breaking News

National News

TN CM, FM blame Centre for fuel price hike

Published

on

Tamil Nadu Chief Minister M.K. Stalin and Finance Minister Palanivel Thiaga Rajan on Thursday blamed the BJP-led central government for hiking the petrol and diesel prices.

Speaking in the state Assembly, Stalin said as the excise duty has to be shared with the state, the Central government reduced that while hiking the cesses and surcharges which are not shared with the states.

The two Ministers were responding to Prime Minister Narendra Modi’s call on Wednesday to states to reduce the Value Added Tax (VAT) on fuel “in the spirit of cooperative federalism”.

Modi on Wednesday lit the fuse citing the Central government reducing petrol and diesel prices by Rs 5/litre and Rs 10/litre, respectively, while many states have not followed suit.

Stalin said hiking the cesses and surcharges the Central government increased the burden on the common man while earning for itself lakhs of crore of rupees.

As per the figures of Petroleum Planning and Analysis Cell (PPAC), the total contribution of the petroleum sector to the central exchequer galloped from Rs 172,065 crore in 2014-15 to Rs 419,884 crore in 2020-21 and for the nine month period in FY22, it was Rs 310,155 crore.

On the other hand, the state’s revenue went up from Rs 160,554 crore in FY15 to Rs 217,650 crore in FY21 and Rs 207,658 crore for the nine month period in FY22.

“While both, the Central and the state governments, say that they get the revenue for investments in infrastructure, the PPAC figures show that the Central government has further leeway to reduce the rates,” an industry official told IANS on the condition of anonymity.

According to Stalin, owing to some state elections, the central government reduced the oil prices and after winning the polls, the prices were hiked fast.

Meanwhile Rajan urged the Centre to remove cesses and surcharges on petrol and diesel revert to the 2014 rates, an act which is fair and simple.

“We have repeatedly urged the Union government to reduce the cesses and surcharges being levied and merge them with the basic tax rates so that states get their rightful share from the proceeds of the Union taxes,” Rajan said.

According to Rajan, since Tamil Nadu levies ‘ad valorem’ taxes which are applied after Central taxes, this move by the Centre will cause an additional loss of about Rs 1,050 crore in annual revenue to the state.

“Given that the Union Government’s taxes continue to be exorbitant, it is neither fair nor feasible for the State Government to further reduce taxes.”

He hoped that the Central government would heed to this reasonable request in the “true spirit of cooperative federalism”.

He said the Centre’s levies on petrol have gone up substantially in the past seven years since Modi took charge for the first time in 2014.

Listing out the basic points and the tax rates on petrol and diesel, Rajan said on August 1, 2014, the basic price was Rs 48.55 per litre for petrol and Rs.47.27 per litre for diesel.

On November 4, 2021, the basic price of petrol was Rs 48.36 per litre while that of diesel was Rs 49.69 per litre.

On August 1, 2014, the Centre’s taxes were Rs 9.48 per litre on petrol and Rs 3.57 per litre on diesel. At that time, the state government taxes were at Rs 15.67 per litre on petrol and Rs 10.25 per litre on diesel.

“Prior to the reduction of taxes on petrol and diesel by Union Government, the levy of tax, including cesses and surcharges by Union Government on petrol was Rs 32.90 per litre and Rs 31.80 per litre on diesel,” he said.

“This has been reduced to Rs 27.90 per litre for petrol and Rs 21.80 per litre for diesel after the cut. So, when compared to 2014 (when basic price was roughly the same), the Union government still levies an additional tax of Rs 18.42 per litre for petrol (an increase of roughly 200 per cent) and Rs 18.23 per litre for diesel (an increase of over 500 per cent) compared to the taxes in effect when it took office in 2014.

“Though the revenue to the Union government has increased manifold, there has not been a matching increase in the revenues to States. This is because the Union government has increased the cess and surcharge on petrol and diesel while reducing the basic excise duty that is shareable with the states.

“In 2020-21, the revenue to the Union government from levies on petrol and diesel was Rs 3,89,622 crore which was 63 per cent higher than the revenue of Rs 2,39,452 crore in 2019-20. On the other hand, the government of Tamil Nadu in 2020-21 received only Rs 837.75 crore as share of the tax devolution from the Union Excise Duties on petrol and diesel as against the Rs 1,163.13 crore received in 2019-20,” the Minister added.

According to Rajan, after the advent of the Goods and Services Tax (GST) regime, the states have lost substantial powers to levy their own taxes and raise revenue.

“Further, the GST compensation regime comes to an end on June 30 and most states including Tamil Nadu have already requested the compensation to be extended considering the strain caused by the pandemic on state finances. However, there is no clarity from the Union government on whether the compensation will continue or not after June 30.”

On bringing petrol and diesel under the GST regime, Rajan had earlier said it can be done provided the Central government scraps the cess and surcharge levied on them.

On the other hand, AIADMK’s late Chief Minister J. Jayalalithaa was a strong advocate for changing the fuel pricing formula.

She had argued that the fuel rates should be determined based on import costs and refining charges and rates of domestic crude oil and the refining charges for the same instead of basing it on trade parity Price.

Maharashtra

171 Maharashtra Tourists Safe, Search On For Missing Woman In landslide-hit Uttarakhand

Published

on

Mumbai: A woman tourist from Maharashtra has remained untraceable since landslide and flash floods hit Uttarkashi district of Uttarakhand, state Disaster Management Minister Girish Mahajan said on Saturday.

The minister’s office in a statement said that 171 out of the 172 tourists from Maharashtra, who were stranded in the Dharali area, could be contacted, and they were all confirmed safe.

The Statement

“Only one person, Kritika Jain, is still missing, but the authorities are trying to locate her. Efforts are underway to establish contact with the tourist, and the Uttarakhand State Emergency Operations Centre (SEOC) has been instructed to conduct a search for her,” the statement said.

Of the 171 tourists from Maharashtra, 160 are safe at various locations – 31 are in Matli, six in Jolly Grant, and 123 in Uttarkashi – and have continued their journey as planned. The remaining 11 tourists are safe in Harsil and will be airlifted to safety, it stated.

Mahajan is overseeing the rescue operation on-site in Uttarkashi to ensure the safety of tourists.

The Maharashtra State Emergency Operation Centre (SEOC) is in constant touch with its Uttarakhand counterpart, the district control room, the district emergency operations centre in Uttarkashi, and the National Emergency Response Centre in New Delhi.

According to the statement, Chief Minister Devendra Fadnavis is monitoring the situation.

As per information shared by Uttarakhand authorities, the airlift of tourists stranded in Harsil was scheduled for Saturday morning. Army, NDRF, SDRF and local rescue teams are operational in Dharali.

The landslide and floods have damaged roads and disrupted communication networks. Efforts are underway to restore connectivity and basic infrastructure.

A satellite phone has been deployed by IGP Rajeev Swaroop, and the Army has been alerted for immediate response.

The Maharashtra SEOC is coordinating rescue arrangements, updating information, and assisting the concerned families, the statement added.

Continue Reading

National News

‘Hurt By US President Donald Trump’s Tariff Attack, PM Modi Now Posing As Farmers’ Defender,’ Says Congress Leader Jairam Ramesh

Published

on

New Delhi: Congress leader Jairam Ramesh took a swipe at Prime Minister Narendra Modi for attempting to portray himself as a champion of Indian farmers, after being “hurt and subdued” by recent criticism from US President Donald Trump.

Ramesh recalled the 2020-21 farmers’ protests against the three farm laws, alleging that the Prime Minister mocked the agitators by calling them “protest enthusiasts” in Parliament. He claimed that over 700 farmers lost their lives during the protests, yet the Prime Minister expressed no regret or sympathy.

“Five years ago, there was a time when the Prime Minister, in Parliament, mocked the protesting farmers by calling them ‘protest enthusiasts.’ More than 700 farmers lost their lives during the protests against three black, anti-farmer laws, but not a single word of pain, regret, or sympathy came from the Prime Minister’s mouth for them. Farmer organizations are still demanding a legal guarantee for MSP, calculated by adding 50% profit to the total cost of production (C2), along with concrete debt relief. The Prime Minister remains completely silent on these demands, even though these same issues were raised by India’s former Vice President,” he posted on X.

“In November 2019, the Prime Minister was fully prepared to include India in the RCEP trade agreement, which could have caused significant harm to Indian farmers and dairy producers. However, due to persistent pressure from the Congress Party and farmer organisations, Prime Minister Modi had to back down at the last moment,” he added.

He further took a jibe, saying, “Now, hurt and subdued by Trump’s attacks, PM Modi is trying to present himself as the greatest champion of Indian farmers, but no one is under any illusion about this.”

On Thursday, in a message against the tariffs imposed by the United States, Prime Minister Narendra Modi asserted that farmers remain India’s top priority and that the country would never compromise their interests.

“For us, the interest of our farmers is our top priority. India will never compromise on the interests of farmers, fishermen and dairy farmers. I know we will have to pay a heavy price for it, and I am ready for it. India is ready for it,” PM Modi said while addressing the MS Swaminathan Centenary International Conference.

His remarks come amid the Trump administration doubling the tariff imposition to 50 per cent on goods from India. During trade negotiations, the United States was pushing for greater access to India’s agricultural market, especially for corn, soybeans, and cotton.

However, India has so far resisted the opening of the agricultural sector and dairy products due to concerns about domestic livelihoods and potential impacts on farmers.

Continue Reading

National News

28 Tourists From Kerala, Maharashtra Feared Missing After Uttarakhand Cloudburst And Landslides

Published

on

Kochi: A 28-member group of tourists, who are natives of Kerala, has gone missing after a cloudburst triggered massive mudslides in Uttarakhand, family members said on Wednesday.

Of the 28 individuals, 20 are reportedly from Kerala settled in Maharashtra, while the remaining eight are from various districts in Kerala, a relative of one of the couples in the group told the media.

She said the couple’s son last spoke to them a day ago.

“They said they were leaving from Uttarkashi to Gangotri at around 8.30 am that day. The landslides occurred along that route. We have been unable to contact them since they left,” she said.

She added that the Haridwar-based travel agency, which arranged the 10-day Uttarakhand tour, was also unable to provide any update on the group’s whereabouts.

“Their phones may have run out of battery by now. There is no mobile network in that region currently,” she said.

At least four people have been confirmed dead in the disaster that struck Dharali, an ecologically fragile region in Uttarakhand, following the cloudburst on Tuesday afternoon.

Officials said nearly half of Dharali was buried under a massive mudslide of slush, debris, and water. The village is a key stop on the route to Gangotri, the origin of the Ganga, and hosts several hotels and homestays.

Continue Reading

Trending