Punjab, 11th June 2023: Punjab government has raised VAT on petrol and diesel prices on Sunday. For retail customers, the Aam Aadmi Party (AAP) administration raised fuel prices by 92 paise and diesel prices by 88 paise.
A litre of petrol in Mohali, will now cost Rs 98.95, while diesel will cost Rs 89.25 per litre. In Chandigarh, petrol will cost Rs 96.20 per litre, while diesel will cost Rs 84.26 per litre.
With the current increase, the state intends to raise an additional 600 crore in revenue every year.
Despite the price hike, the Punjab government claims that diesel in Punjab will be cheaper than in their neighbouring Haryana, and both diesel and petrol will be cheaper than the prices in Rajasthan.
According to Monty Sehgal, spokesperson for the Punjab Petrol Pump Dealers’ Association, this increase will entail a higher profit margin for individuals smuggling petrol from Himachal Pradesh to Punjab.
During conversation with The Indian Express he said, “Mass smuggling from the neighbouring state is already going on. The mafia is going to benefit (from the price rise). We have already given a representation to the chief minister.”
