Alert! Petrol pumps in Delhi to remain shut on October 22; Here's why

Delhi Petrol Dealers Association (DPDA) has called for a shut-down of around 400 petrol pumps in the national capital on October 22 and October 23.

In late September, the Central government slashed the rate of petrol and diesel by Rs 2.50 per litre each. (Image: PTI)

New Delhi: In order to protest against the refusal to deduct Value Added Tax (VAT) by Delhi government on petrol and diesel prices, the Delhi Petrol Dealers Association (DPDA) on Wednesday has called for a shut-down of around 400 petrol pumps in the national capital on October 22 and October 23. “There are about 400 petrol pumps in Delhi which also have linked CNG pumps with them. Both will remain closed in protest from 6.00 am onwards on October 22 and remain closed till 5.00 am on October 23, 2018,” the association said in a statement. The DPDA also stated that petrol and diesel dealers in the national capital are in the grip of a crisis following the recent excise duty cuts made by the Centre and many states leading to losses here ranging 20-30 per cent. During a press briefing, the association said that with the excise cuts making transport fuels cheaper in neighbouring states such as Uttar Pradesh and Haryana, besides the revenue loss, Delhi's high pollution levels will certainly worsen because of consumers opting to refuel with the lower grade fuels sold in these states. In late September, the Central government slashed the rate of petrol and diesel by Rs 2.50 per litre each which was followed by the reduction in VAT made by various states. “In comparison with Delhi, petrol in UP and Haryana is cheaper by Rs 2.59 and Rs 1.95 per litre, respectively, while diesel in these two states is cheaper by Rs 2.02 and Rs 1.72 per litre, respectively,” news agency IANS quoted DPDA President Nischal Singhania as saying. “Because of high price in Delhi and low prices in states like Uttar Pradesh and Haryana, customers are deserting the petrol pumps in Delhi leading to huge drop in sales," Singhania added. The association also noted that price difference has caused a sharp drop of 50-60 per cent in sale of diesel and 25 per cent in petrol in Delhi during the current quarter. “Almost 200 pumps out of 400 pumps would be on a verge of closing down leading to retrenchment of thousands of workers affecting lakhs of people in the city,” DPDA chief said. The association has made it clear that around 400 petrol stations in the national capital which also have CNG pumps will remained closed in protest from 6am on October 22 and remain closed till 5 am on October 23.