State NPP raises concern over higher fuel prices in Nagaland

National People’s Party (NPP) Nagaland units has expressed concern over the prevailing fuel prices in the State, which it said continue to remain higher than in some neighbouring North Eastern states.
According to NPP, as of early September, petrol in Nagaland was retailing between Rs.97.75–97.98 per litre as against Rs.96.35 in Meghalaya and Rs.92.50–92.66 in Arunachal Pradesh. Diesel in Nagaland was around Rs.88 per litre compared to Rs.87.74 in Meghalaya and Rs.80.49–82.20 in Arunachal Pradesh. This, it pointed out, meant that citizens of Nagaland were paying Rs.5 or more extra per litre for petrol and Rs.6–8 more for diesel compared to Arunachal Pradesh.
NPP said the higher prices were mainly due to the VAT/Sales Tax structure in Nagaland, which imposes 21.75% VAT or Rs.16.94 per litre (whichever is higher) on petrol, and 17.20% VAT or Rs.12.83 per litre (whichever is higher) on diesel. On the other hand, Meghalaya levies 13.50% VAT or Rs.13.50 on petrol and 5% VAT or Rs.9.50 on diesel, while Arunachal Pradesh levies 14.50% VAT on petrol and 7% on diesel.
The party maintained that because of the “whichever is higher” clause and higher tax percentages, final pump prices in Nagaland remained costlier. It said this had wide impact on transport, agriculture, households and youth, as rising fuel costs increased fares, input costs and living expenses.
While acknowledging that a portion of fuel taxes may be used for infrastructure and social development, NPP said such funds must be transparently utilized and visible to citizens. Otherwise, it added, the high fuel cost only added undue burden on the common people.
Suggesting a review of the taxation structure, NPP proposed that a specific cess could be levied for upkeep of urban infrastructure, ensuring that the burden on rural citizens was kept proportionate.
Though NPP Nagaland is a constituent of NDA, the party said on issue-based matters, its priority was always the common citizen. It, therefore, appealed to the concerned authorities to review the existing fuel taxation and pricing structure to bring parity with neighbouring states and provide much-needed relief to the people.