Cut in fuel prices just an eyewash: Congress

New Delhi: Hitting out at the government led by Prime Minister Narendra Modi, Congress chief spokesperson Randeep Singh Surjewala on Friday alleged that the Centre is trying to take the credit for reducing value added tax (VAT) on petrol and diesel in the name of Diwali, which is just an eyewash.

"Look at the lies about the loot. The Modi government this year alone has increased the price of diesel by Rs 26. By reducing the price by Rs 10, they are trying to garner credit and say a big Diwali gift has been given," Surjewala told reporters.

Hitting out at the Haryana government, Surjewala alleged that the Haryana government has befooled the public by reducing VAT on petrol while increasing it on diesel.

"Have a look at what the 'loot jeevi' Khattar-Dushyant government is up to. In Haryana, the VAT on petrol has been reduced by Rs 1.12 and it has been raised on diesel by Rs 1.78. The people of the state know these lies and understand them. Shame on such an anti-people government," Surjewala said.

However, the party has claimed that it would go ahead with its agitation programme against inflation from November 14. In response to no reduction of VAT and other local tax components by Congress-ruled states, party's general secretary KC Venugopal said that the party "will look into it but already states like Chhattisgarh have lower rates compared with others".

Calling the Centre's cut in excise duties on petrol and diesel as an 'eyewash', Venugopal told reporters that the Congress would go ahead with its agitation programmes over inflation and fuel price hike later this month.

"They have to reduce the hike in excise duty on petrol and diesel to pre-COVID levels. The Central government was under pressure to do this because of by-elections and the agitational programmes of the Congress and other Opposition parties," he told reporters.

Several other Congress leaders, including former Finance Minister P Chidambaram, party general secretary Priyanka Gandhi Vadra and Chhattisgarh Chief Minister Bhupesh Baghel linked the excise duty cuts to the 'setback' to the BJP in the recent bypolls in Himachal Pradesh and Karnataka among others.

"This isn't a decision taken from the heart but out of fear. The answer to the loot by an extorting government should be given in the upcoming elections," Vadra said in a tweet.

"The results of the 30 Assembly and 3 Lok Sabha by-elections have produced a by-product. The centre has cut excise duties on petrol and diesel! It is a confirmation of our charge that fuel prices are high mainly because of high taxes. And our charge that high fuel taxes are because of the greed of the central government," Chidambaram stated.

"During the UPA, the tax component was around Rs 9 but now it's between Rs 27 and Rs 32. If they reduce this excise duty, petrol would be around Rs 50 a litre. If the Centre brings down taxes, states will also do so," Chhattisgarh Chief Minister Bhupesh Baghel told reporters in Raipur. He added that the Congress government in the state didn't add even rupee more to VAT than what was charged by the previous BJP government.