Petroleum and Natural Gas Minister Hardeep Singh Puri has said that the Centre is ready for bringing petrol and diesel under the Goods and Services Tax (GST) regime but it is unlikely that the states will agree to such a move. He said ‘for bringing the petrol and diesel under the GST, the states have to agree. If the states make the move, we are ready. We have been ready all along. That's my understanding. It is another issue how to implement it. ‘
However, the minister pointed out that it is unlikely that the states will agree to such a move as liquor and energy are revenue generating items for them. It is not difficult to understand, states get revenue out of this. Liquor and energy are two things that generate revenue. It is only the Central government which is worried about inflation and other things.
He further said India has been able to insulate itself from the rising fuel prices by taking a number of steps, including reducing the excise duty by the Centre. He said ‘there are some countries in our neighbourhood which have fuel shortages, and prices are exorbitant. But we did not have shortages even in the remote areas of the country. It has been a very strong navigation at the level of the Centre and the states. What will happen in future it is difficult to say.’
