THIRUVANANTHAPURAM: BJP state president K Surendran said that Kerala should be prepared to comply with the Prime Minister's request to reduce the value added tax (VAT) on fuel by realizing the value of co-operative federalism.
The Prime Minister has made it clear that the action of the state government in not reducing the fuel tax is an injustice to the people. The Central government had reduced the excise duty on petrol and diesel last November to reduce the burden on the people. Surendran said the Prime Minister's statement that while some states had reduced taxes as per the central directive to pass on this benefit to the people, some states, including Kerala, had generated extra revenue without reducing taxes, exposed the Pinarayi government's betrayal of the people.
Even though the states get 42 per cent of the central revenue from fuel tax, the Left government is cheating the people. Neighboring states and Mahe have lower fuel prices than Kerala. It is the policy of the state not to reduce fuel prices that has led to the increase in auto bus fares. Kerala has double the charge than other states. Surendran added that the state government should heed the words of the Prime Minister and not try to make money by forgetting the people when the world is facing a major crisis.