Terming as “justifiable” the government’s move to impose five per cent Value Added Tax (VAT) on CNG, the fuel on which the public transport runs in the city, chief minister Sheila Dikshit has ruled out any rollback of the increased price of the fuel. “We will not withdraw the VAT on CNG. We have levied only five per cent VAT on the fuel and that is justifiable,” Ms Dikshit said.
The chief minister had, while presenting the Budget on May 28, proposed to impose the VAT on compressed natural gas (CNG) to generate around `110 crores in revenue while withdrawing VAT on petrol after a nation-wide hike in its price. The Delhi Assembly will take up the Budget for approval on Monday.