Oil firms’ delegation meets A.K. Walia

May 15, 2010 - Age Correspondent |

New Delhi

Amid petrol pumps across the capital remaining shut in protest against the hike in VAT on diesel, a delegation of oil marketing companies’ officials met Delhi finance minister Dr A.K. Walia on Friday. Though he apparently

assured them to look into the matter, the deadlock was not broken with the dealers deciding to go ahead with the closure of petrol pumps every Monday beginning from May 24.
The president of Delhi/ NCR petrol dealers’ association, Mr Ajay Bansal, said that the delegation met the finance minister to apprise him of the situation being faced by the dealers due to the difference in the VAT rates of Haryana and Delhi. “They told the minister that with the sales dipping in the capital, the government would not be able to shore up revenues as it was expecting by hiking the VAT on diesel,” said Mr Bansal. He added that though the minister apparently assured the delegation that the matter would be looked into, nothing concrete has come from the government.
Mr Bansal said that all the 408 petrol pumps across the capital were closed and no services were offered. However, the emergency services were spared from the strike. “Even on Mondays, the emergency services will be exempted from the strike,” said Mr Bansal. Meanwhile, a dozen government petrol pumps and IGL outlets for CNG mainly catered to the demand of the public transport. Long queues of autorickshaws and some other vehicles could be seen at various IGL outlets for CNG. With people mostly having tanked up on Thursday, not many seemed to have felt the pinch.
On the other hand, the government seems unfazed by the move and claimed that, as compared to other states, the VAT rates in the capital were still low. The Centre has recommended 20 per cent VAT on diesel, while some states have imposed VAT and other cess in excess of the limit. Dr Walia has already been saying that the people would understand the problems of the government, which has been spending a lot of money on Commonwealth Games-2010 projects.

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