Vehicles line up at a fuel station near Dimapur‘s West Police Station following the state government’s tax-hike announcement on November 11. (Morung Photo)
Morung Express News
Dimapur | November 11
Petrol filling stations across Dimapur saw heavy rush after the Nagaland government announced the fuel-tax hikes on petroleum products on November 11.
It was caused by a confusing notification from State’s Finance Department causing consumers to interpret the hike to as high as 18.26 per litre. This resulted in the beeline to fuel stations before the new rates kicked in on Wednesday midnight.
At a fuel station near Dimapur‘s West Police Station, police personnel were seen regulating the lines to allow people to buy the fuel at an orderly manner at around 10 PM.
What to do, we have to intervene, as customers are coming ‘kushi kushi’ (chaotically), remarked a personnel manning the line.
Most fuel stations in the city were closed by then. Apart from filling their cars, many were seen bringing water bottles and jerry cans for storing the fuel.
Earlier, in the notification on Wednesday, the State Government announced a marginal percentage hike in tax rates of diesel, petrol and motor spirit in Nagaland effective from midnight of November 11.
The tax rate on diesel was hiked from existing 14.5% to 17.50% (or by 3%) while for petrol and other motor spirit, the rate increased from 25% to 29.80% (or by 4.80%), as per the notification issued by the Additional Chief Secretary and Finance Commissioner, Sentiyanger Imchen.
However, it was the wording of the notification that confused many.
For instance, the amended rate of tax on diesel was shown as “17.50 % or Rs 11.08 per litre, whichever is higher,” prompting many to interpret it as a hike by at least Rs 11.08 per litre.
Likewise, tax rate on petrol and other motor spirit was depicted an hike from existing 25% to “29.80% or Rs 18.26 per litre, whichever is higher.”
A rough calculation based on the existing price of fuel prices in Dimapur as per IndianOil ONE App on November 11 informed that the hike would be over Rs 2 per litre for diesel and over Rs 3 for petrol and other motor spirit.
However, it was lost in interpretation triggering the rush.
The State Government also received lot of flak over the hike. In a tweet, the Congress called the hike in tax rates “Return Gift to the people of Nagaland by PDA govt on the occasion of Chief Minister @Neiphiu_Rio’s Birthday.”
Incidentally, the ruling Nationalist Democratic Progressive Party commemorated the 70th birthday of Nagaland Chief Minister Neiphiu Rio by conducting various charitable activities across the state on Wednesday.
On September 23, following the growing demands from various sections, the Nagaland Government decided to revoke a COVID-19 cess on petroleum products imposed since the last week of April.
