The
relief has come in the wake of similar steps taken by other
state governments to help people meet the burden of price rise
announced by the central government. The union government had
announced an increase of Rs five in petrol, Rs three in diesel
and Rs 50 in LPG.
Considering
the quantum of increase, state governments have announced
relief in the prices. However, Gujarat government decided to
form a high power committee under the Revenue Minister
Vajubhai Vala last week. On the basis of the report of the
committee this relief has been announced.
Government
Spokesperson Jai Narayan Vyas said that the relief is by way
of reduction in the VAT on Petrol-diesel and LPG. On Petrol
and Diesel there is a reduction of three per cent in the VAT
while in the case of LPG the government has completely
abolished VAT of four per cent.
Vyas
said that as a result of increase in the prices by the central
government the price of petrol had increased by Rs 5.49 ,
diesel by Rs 3.55 .The relief of Rs.13.05 in the LPG by the
state government will cost it Rs 50 crore. The relief will
cost the state government Rs.530 crore.