‘Centre, States have to work out mechanism to regulate fuel rate’

The issue of petrol price hike is fairly layered, says Nirmala Sitharaman

As the Opposition blamed the Centre for hike in fuel prices, Union Finance Minister Nirmala Sitharaman said both Centre and States levy excise duties on petrol and both governments will have to work out a mechanism to regulate prices to reasonable levels. Replying to a question on petrol prices breaching ₹100 in major cities and towns, Ms. Sitharaman said the Centre levied fixed a amount of excise duty while it varies in States. “In today’s context, prices per barrel of petrol have gone up over and above $75 or $76 so the issue of price is fairly layered…” Asked about why the Union government has not brought fuel prices under GST, the Minister said the GST Council has to take a decision on this. “There is no hurdle on the part of the Central government to bring fuel prices under GST.”