The Punjab government raised the VAT on petrol and diesel prices on Sunday. For retail customers, the Aam Aadmi Party (AAP) government raised fuel prices by 92 paise and diesel prices by 88 paise.
One litre of petrol will now cost 98.65 in the state, while diesel will cost 105.24 per litre in Chandigarh. Since June, the price of a litre of petrol in Chandigarh has been 96.20, while diesel has been 84.26. With the current increase, the state intends to raise an additional 600 crore in revenue annually.
As of 10 June, practically every city in Punjab had petrol prices in the range of 98, according to the most recent statistics from Oil Marketing Companies (OMCs). Jalandhar has the lowest petrol price at 98.06/litre, while Pathankot has the highest at 99.01/litre.
The government of Chief Minister Bhagwant Mann has raised petrol prices for the second time.
Earlier in February, the Punjab state cabinet approved a resolution to impose a 90-paise VAT on fuel and diesel to generate an additional Rs. 300 Crores in annual income.
(All numbers indicate price in Indian Rupees)