Aizawl: Despite strong protests from commercial vehicle owners, Mizoram Chief Minister Lalduhoma has confirmed that the state government will not roll back the recent fuel price hike.
The chief minister said that the meeting of the council of ministers held on Wednesday reaffirmed that the existing prices of petrol and diesel, which came into effect on September 1, will continue to be used.
Notably, the Mizoram government hiked VAT on petrol from 5.23% to 10% and on diesel from 16.36% to 18% that came into effect from September 1.
Apart from the VAT hike, the government also imposed a new levy of Rs 2 per litre on both diesel and petrol for social infrastructure and services cess, along with an additional Rs 2 per litre for road maintenance
With the hike in VAT and additional levies, the prices of petrol have risen from Rs. 93.93 to Rs. 99.24 per litre and that of diesel from Rs. 82.62 to Rs. 88.02 per litre.
The chief minister stated that under the social infrastructure and services cess, 25% of the revenue generated from oil sales will be allocated to human resources development, wellness infrastructure development, skill development initiatives, and women-centric projects.
He argued that despite the recent VAT increase and new cess, the current fuel prices in Mizoram are still lower than pre-COVID levels.
Moreover, Mizoram now has lower fuel prices compared to three other northeastern states: Assam, Sikkim, and Nagaland, Lalduhoma said.
The Mizoram Commercial Vehicle Union (MCVU) had threatened to go on strike for an indefinite period starting from October 14 in response to the price hike. However, the union decided to postpone their strike after Chief Minister Lalduhoma assured them of positive action and requested them to wait for the outcome of the cabinet meeting.
MCVU General Secretary P Sanghmingthanga has expressed disappointment over the cabinet decision and announced that the union will convene a meeting soon to decide its future course of action.
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Chief Minister Lalduhoma urged the public, particularly commercial vehicle owners, to understand the government’s decision for the fuel price hike, emphasizing that it is ultimately for the welfare and benefit of the people.