The BJP government in Assam led by CM Himanta Biswa Sarma on Wednesday announced a reduction in VAT on petrol and diesel by Rs 7 with immediate effect.
Tripura CM Biplab Kumar Deb also announced a reduction in prices of petrol and diesel by Rs 7 effective from Thursday.
This comes after the Centre cut excise on petrol and diesel by Rs 5 and Rs 10, respectively, urging state governments to also reduce VAT to boost economy amid festivities.
The finance ministry said the Rs 10 cut on diesel will come as a boost to farmers ahead of rabi crop sowing. The lowering of prices of transport fuel is also expected to keep the general price rise in essential commodities under check.
It must be noted that the reduction in petrol and diesel prices comes ahead of elections in seven states, including the crucial Uttar Pradesh polls early next year.
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