CNG Prices in Maharashtra: The Maha Vikas Agadi (MVA) government on Friday presented the Budget for 2022-23. With an eye on corporation elections in major cities, including Mumbai, amid rising fuel prices, the government also announced to reduce the Value Added Tax (VAT) on natural gas from 13.5 per cent to 3 per cent on CNG. It also announced an amnesty scheme for traders that is set to benefit around 3.2 lakh traders.
The move will provide relief to both CNG as well as PNG (piped cooking gas) consumers. This step will reduce the burden on consumers who had faced an Rs 18 hike in CNG in the past one year, with the retail rate rising to Rs 66 per kg at present. In addition, it will also give relief to those facing hikes for cooking gas lately across the state whose prices jumped up to Rs 39.50 per unit.
Also, if there is another CNG hike in view of the Russia-Ukraine war and the international oil and natural gas crisis, it will be absorbed to some extent with this relief which will come in the next financial year, experts explained.
In the Mumbai Metropolitan Region, there are over 8 lakh CNG consumers, including several auto-taxi and bus owners and more than 3 lakh private car users who opted for the green fuel as it was cheaper than petrol and diesel besides being environment-friendly. There are also 18 lakh households in MMR that use PNG. While they stand to benefit, the state may incur a revenue reduction of Rs 800 crore due to reduction of VAT on natural gas, said Finance Minister and Deputy Chief Minister, Ajit Pawar in his Budget speech
Natural gas is “environment-friendly” and is largely used for domestic piped gas supply and also for CNG-powered motor vehicles, auto-rickshaws, taxis and private vehicles, the minister said.
Chief Minister Uddhav Thackeray said that the Budget would take a huge leap forward for the overall development of the state by overcoming the pandemic. Expressing confidence that the state’s target of a one trillion dollar economy will be achieved through the five-point development agenda, Thackeray said, “The Budget has given a booster dose to the development of agriculture, health, human resources, transport, and industry.”
The CM also said that the development of various sectors would get a big boost due to various important announcements in the Budget, such as an amnesty scheme for various tax concessions, tax concessions on natural gas and stamp duty as well as tax waiver to promote water transport.
In the Budget Estimates of 2022-23, revenue receipts are estimated at Rs 4,03,427 crore and revenue expenditure of Rs 4,27,780 crore, resulting in revenue deficit of Rs 24,353 crore.
“Though the economy has slowed down, the government intends to revive the economy through Panchasutri of Development Programme. This expenditure and expenditure on welfare schemes being inevitable, ensuing deficit, may be viewed favourably,” said Pawar, in his Budget speech while tabling it in the Assembly on Friday.
Read all the Latest Business News and Breaking News here
Comments
0 comment