Excise duty cut like saree shop bargaining: Mamata Banerjee slams Centre

West Bengal CM Mamata Banerjee criticised the Centre's excise duty cut on fuel, likening it to 'saree bargaining.' She also demanded gas cylinders from Haldia remain in the state. The Centre defended the move as a pro-people step.

West Bengal Chief Minister Mamata Banerjee on Friday took a dig at the Centre, comparing their decision to reduce excise duty on petrol and diesel to "bargaining" in a Saree shop for prices. "This is like going shopping in a saree store. If you ask the price of a saree, he will perhaps tell you Rs 1000. But after bargaining, he agrees to Rs 400. Similarly, they have increased the price of gas. Even if they slash the excise duty now, where will the price actually stop?" Mamata Banerjee said.

Expressing her concern over the public inconvenience due to the LPG crisis, she demanded that gas cylinders from Haldia must not be sent out of West Bengal. "What I am more concerned about is that the public should not face inconvenience...Although gas and petrol availability is sufficient in our region, I demand an overhaul in the entire administration - from Police officers to BDOs. I demand that the gas cylinders from Haldia in Bengal not be sent out of the state," she said.

Centre Defends 'Citizen-Focused' Decision

Meanwhile, Union Minister Piyush Goyal hailed the Centre's decision, stating that such a measure reflects the government's strong commitment to public welfare.

In a post on X, Nitin Gadkari said that the government has taken a "citizen-focused step" in a time when the global prices are soaring upward due to the West Asia conflict. "Amid the ongoing fuel crisis in West Asia, which has pushed global energy prices upward, the Government of India has taken a timely and citizen-focused step by reducing excise duty on petrol and diesel," Nitin Gadkari said.

"While several countries continue to increase fuel prices, this decision under the leadership of Prime Minister Narendra Modi reflects a strong commitment to public welfare," he added.

Details of the Excise Duty Cut

The Central government reduced excise duty on petrol to Rs 3 per litre and brought it down to zero for diesel, as per a Gazette notification issued under the provisions of the Central Excise Act, 1944. Additionally, a windfall tax of Rs 21.5 per litre has been imposed on diesel exports.

Context and Current Fuel Supply Status

The decision follows escalating tensions in West Asia, particularly the ongoing conflict involving the United States, Israel, and Iran, which has led to a blockade of the Strait of Hormuz--a crucial route that handles nearly one-fifth of the world's crude oil supply. Before the crisis, India sourced around 12-15% of its oil imports through this route.

While the duty cut is expected to ease pressure on oil marketing companies facing losses due to surging crude prices, retail prices of petrol and diesel have remained unchanged so far.

Meanwhile, the government has maintained that fuel supplies across the country remain stable.

The Ministry of Petroleum and Natural Gas, in an official statement, assured that "all retail outlets are operating normally across the country" and that there are "adequate stocks of petrol and diesel available at all petrol pumps." It also urged citizens not to engage in panic buying amid circulating rumours. (ANI)

(Except for the headline, this story has not been edited by Asianet Newsable English staff and is published from a syndicated feed.)