A day after Telangana Rashtra Samithi president and chief minister K Chandrasekhar Rao declaring a war on the Bharatiya Janata Party-led central government on fuel prices and paddy purchase, it was the turn of the Y S Jagan Mohan Reddy government in Andhra Pradesh to target the Centre.
Senior YSRC leader and advisor to the state government on public affairs Sajjala Ramakrishna Reddy on Monday lashed out at the Centre for hoodwinking the people in the name of reducing the fuel prices and bringing pressure on the states to reduce the VAT.
Sajjala said the so-called relief given by the Centre by reducing the prices of petrol by Rs 5 and diesel by Rs 10 was very insignificant compared to what it had minted from the fuel in the form of cess in the last seven years.
“The Centre had collected nearly Rs 3.60 lakh crore from fuel prices, of which nearly Rs 3.13 lakh crore was pocketed by it in the form of cess. Only Rs 47,000 crore was collected in the form of excise duty of which only Rs 19,475 crore was shared with the states in the form of tax devolution,” he pointed out.
Sajjala made it clear that the state had already issued a public statement explaining the factual situation to the people who he said would understand the difficulties of the state government.
State finance minister Buggana Rajendranath Reddy said there was no question of reducing the VAT on petrol and diesel, as was done by the Centre.
“We are facing severe financial crunch. Every state has its own compulsions and needs. VAT on fuel is the main source of income for the state and we cannot forego the same,” he asserted.
State information minister Perni Nani also lashed out at the BJP for making a hue and cry on the fuel prices in the state.
“It was the BJP government at the Centre which increased the petrol price from Rs 70 to Rs 115 in a span of one year. Now, the same BJP leaders are finding fault with us for not reducing the state tax,” he criticised.
