Withdraw hike in diesel prices,Maya urges PM

She also urged the PM to abolish the central excise duty on diesel.

Uttar Pradesh Chief Minister Mayawati has written a letter to Prime Minister Manmohan Singh,requesting him to withdraw the hike in the prices of diesel,kerosene and LPG in view of the large-scale protests against it. She also urged the PM to abolish the central excise duty on diesel.

In her letter,Mayawati said the Centres decision to hike the prices of petroleum products would cause an additional burden on the poor and lead to costlier transportation of essential commodities.

Mayawati said the hike could have been avoided had the Centre abolished the central excise duty on diesel. She questioned the decision to hike the prices by the Empowered Group of Ministers when crude oil prices have slipped in the international market.

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Replying to the Centres appeal for decreasing state taxes on petro-products,Mayawati said her government had cut the state tax on diesel from 21 per cent to 17.23 per cent and abolished the 4 per cent state tax on LPG in financial year 2008-09.

Naveen cuts 4% VAT on LPG

The Orissa government on Tuesday decided to cut 4 per cent VAT on LPG and PDS kerosene to provide relief to consumers from the recent price hike. With this measure,the LPG cylinders would be cheaper by Rs 16. The VAT cut would cost the state Rs 40 crore a year. Chief Minister Naveen Patnaik,however,said it would not be possible to cut the VAT on diesel as the state has already reduced it to18 per cent. For a poor state like Orissa,no more reduction is possible, he said.

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Prime Minister Manmohan Singh

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