Mumbai: The Maharashtra government announced a reduction in fuel rates on Thursday, cutting the cost of petrol and diesel by ₹5 per litre and ₹3 per litre, the decision will come into effect from tomorrow.
Maharashtra CM Ekant Shinde informed reporters after a cabinet meeting at Mantralaya which also had the participation of Deputy CM Devendra Fadnavis and several officials as attendees.
Petrol will cost around ₹ 106 a litre and diesel ₹ 94 in Mumbai. CM Eknath Shinde said the cut in Value Added Tax (VAT) will cost the state ₹ 6,000 crores a year, but it will bring down overall inflation.
The newly appointed chief minister had earlier declared that the government planned to lower the VAT soon.
“A decision to reduce VAT on fuel will be taken soon to provide relief to the people of the state,” tweeted Shinde on July 4.
The new government was formed just two weeks ago after Eknath Shinde led a mutiny in the Shiv Sena that displaced Uddhav Thackeray’s Shiv Sena-NCP-Congress government.