Recently, the Karnataka government increased VAT on petrol and diesel, resulting in higher prices for consumers. However, Chief Minister Siddaramaiah defended this decision by stating that fuel rates in Karnataka are still lower compared to states like Maharashtra, Gujarat, and Madhya Pradesh.
Despite the VAT hike, Karnataka’s diesel prices remain lower than those in Gujarat and Madhya Pradesh. The government aims to keep fuel prices reasonable for citizens and ensure affordability compared to neighboring states.
The hike in VAT on fuel will raise petrol prices by Rs 3 and diesel prices by Rs 3.5 per litre in Karnataka. This adjustment aims to generate revenue for essential public services and development projects in the state.
Siddaramaiah criticized the central government for increasing excise duty on petrol and diesel, burdening citizens with high taxes. He urged the Union Government to reduce these taxes for the benefit of the people.
The Karnataka government’s decision to hike fuel prices aligns with efforts to mobilize resources for public welfare and infrastructure projects. Despite criticism from opposition parties, the move aims to meet revenue collection targets during the financial year.
Overall, the government’s focus remains on balanced and responsible governance to address the state’s fiscal position and boost economic development.