The announcement comes at a time when fuel prices have been touching new highs across the country.
The Assam government today said that it has cut petrol and diesel prices by Rs 5 and reduced the duty on liquor by 25%. The new rates will be effective from midnight today. The announcement comes months ahead of the state assembly election and especially at a time when fuel prices have been touching new highs across the country.
Finance Minister Himanta Biswas announced the new rates in the state Assembly today.
"Speaker sir, at the peak of Covid-19, we had levied an additional cess on petrol, diesel, and liquor. Now, the number of patients has reduced...I am grateful to my cabinet colleagues who agreed to my proposal this morning to rescind this additional cess. Hence, petrol and diesel will become cheaper by Rs 5 per litre with effect from midnight tonight, benefiting lakhs of consumers across Assam," Mr Sarma said in his speech, according to a PTI report.
The finance minister was presenting the vote-on-account for an aggregate expenditure of Rs 60,784.03 crore for the first six months of the current fiscal.
Petrol and diesel rates have recorded an upswing across the country since January 6, 2021, after staying unchanged for almost a month. The fuel rates have increased amid a rally in global crude oil prices, with Covid-19 vaccination drives beginning across the world.
Meanwhile, the Assam assembly polls are scheduled for March-April with the Chief Minister Sarbananda Sonowal-led BJP government looking to retain power.
Top BJP leaders, besides Prime Minister Narendra Modi and Union Home Minister Amit Shah, have been frequenting the state in the run up to the polls. A few days ago, the Prime Minister granted over a lakh land titles to members of the state's indigenous communities. Later he inaugurated a whole host of developmental projects during a subsequent visit.
Even the Union budget presented by Union Finance Minister Nirmala Sitharaman has earmarked a considerable amount for building of roads across the state.