Petrol and high-speed diesel prices in Himachal Pradesh have increased by 60 paise per litre following the implementation of an orphan and widow cess. The state government said the revenue from the cess would be spent on the welfare of orphaned children and widows, while vehicle owners and the BJP criticised the move.
Petrol and high-speed diesel became 60 paise per litre more expensive in Himachal Pradesh from midnight Tuesday. The state government issued a notification imposing the orphan and widow cess on both fuels.
According to the government, the revenue collected through the cess will be spent on the welfare of orphaned children and widows.
Following the price increase, petrol at the fuel station in Lakkar Bazaar, Shimla, is priced at Rs 103.27 per litre, while diesel costs Rs 95.21 per litre. Vehicle owners expressed dissatisfaction over the new prices.
After the fuel price increase, people said the new cess would add to the financial pressure on families amid rising inflation. Vehicle owners said higher petrol prices would directly increase the cost of daily commuting.
People also said the operating costs of taxis, ambulances and other commercial vehicles could increase. This could affect transportation expenses related to passengers and patients. They said fuel prices were increasing while the cost of everyday necessities was also continuing to rise.
Vehicle owners said the increase in diesel prices could raise freight transportation costs. If transportation costs increase, the prices of goods reaching the market could also be affected.
Higher expenses for vehicles used to transport food items and other daily-use products could increase operating costs for businesses. People said the eventual impact could fall on consumers, with low-income families potentially feeling the effect more.
Members of the public questioned the government's decision, saying that if the revenue from the cess is to be spent on the welfare of orphaned children and widows, a provision could instead be made from the budget. According to them, imposing an additional charge on fuel during a period of inflation could increase financial difficulties for ordinary families.
The government has maintained that the revenue generated through the cess will be used for the welfare of orphaned children and widows. Different views have emerged between the government and members of the public over the decision.
BJP state chief spokesperson and MLA Rakesh Jamwal criticised the decision to impose a 60-paise-per-litre cess on petrol and high-speed diesel. He alleged that the burden of the government's economic policy was continuously being placed on the public.
Rakesh Jamwal claimed that the Congress government increased VAT on diesel in January 2023 and raised it again in July 2023. The BJP has now questioned the government's economic policies over the new cess on petrol and high-speed diesel.
After the new fuel prices came into effect, the issue has also become a subject of political debate in Himachal Pradesh. The government says the revenue from the cess is required for welfare schemes, while the opposition and vehicle owners describe it as an increasing financial burden on the public.
