Updated on: Friday, November 05, 2021, 09:48 PM IST

Madhya Pradesh: Rs 4400 crore revenue loss to state on reducing prices of petrol and diesel, says CM

Save electricity, urges CM
Petrol and Diesel pump | Representative Image

Petrol and Diesel pump | Representative Image


Bhopal (Madhya Pradesh): Chief Minister Shivraj Singh Chouhan has said that the state government will incur a loss of over Rs 4400 crore to provide additional relief to people by reducing prices on petrol and diesel.

“Yesterday only we provided a big relief to people. First Prime Minister announced relief on diesel and petrol. Following PM, Mama also announced relief of Rs 7 per litre on petrol and diesel both. People will benefit Rs 17 per litre from it. People don’t realize but do you know how much of loss (phatka) has been incurred to the state government- Rs 4400 crore,” said CM Chouhan, in Ujjain, on Friday.

Chouhan was trying to urge people to save electricity as well. He said that if people start saving electricity, then state government can save around Rs 1000-2000 crore. Explaining the importance of this small step, Chouhan said that ultimately it was all public’s money. Therefore, if people save electricity, then people will help the government as it was their (peoples) government.

People who run government do not run it from their own pocket. We all need to understand that such small savings will give big results, he added.

Earlier, Chouhan had given details of electricity subsidy provided to the poor people and farmers. “Government is giving subsidy of Rs 21,000 crores to provide subsidized electricity to cheap rates. We charge only Rs 3000 from farmers but provide them electricity worth Rs 51,000 crore. Moreover Rs 6000 crore is given as subsidy to the electricity companies for power being supplied at minimum rates to the poor,” said Chouhan.

CM had announced on Thursday a reduction in value added tax (VAT) on petrol and diesel within 24 hours of the Centre cutting the excise duty on the petroleum products.

According to president of MP Petroleum Dealers Association Ajay Singh, petrol price fell to Rs 112.54 per litre and diesel price to Rs 96.95 after excise duty cut by the Centre. After VAT reduction the prices will fall further from November 5.

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Published on: Friday, November 05, 2021, 09:48 PM IST