Fuel cess under review, no final decision yet: Kerala CM Satheesan

Kerala Chief Minister V D Satheesan has not yet made a final decision on withdrawing the cess on petrol and diesel due to ongoing review and evolving fuel prices.

Kerala Chief Minister V D Satheesan on Monday said the government has not yet taken a final decision on whether to withdraw the cess on petrol and diesel, as fuel prices continue to remain high.

Speaking to reporters, he said the matter is still under detailed review.

''What we are doing now is closely examining the issue because we are not in a position to take a final decision yet. The situation is evolving every day,'' he said.

During the Left rule in Kerala, a cess was levied on petrol and diesel as part of the state's effort to raise additional revenue amid rising fiscal needs.

At that time, Satheesan, the then Leader of Opposition, had strongly demanded its withdrawal, arguing that it increased the burden on ordinary consumers and worsened fuel price pressures.

Satheesan said on Monday that his government is assessing both revenue implications and the impact on ordinary people before moving ahead.

''We are carefully monitoring factors such as how much tax revenue is being generated and how much burden it is placing on ordinary people,'' he added.

He said the situation is being reviewed regularly, and decisions cannot be made based on daily changes.

''Therefore, a definite decision can only be taken once a final conclusion is reached,'' he said.

He added that the issue remains under examination and a decision will be taken only after a full assessment is completed.

Meanwhile, Leader of Opposition Pinarayi Vijayan said the UDF, which had staged protests while in the opposition demanding a reduction in state taxes, is now in power.

Vijayan, in a statement, said the people of the state were eager to know what steps the UDF government would take to implement its own stand, raise its voice against the central government and reduce taxes.

Alleging that the Centre was once again burdening the people by increasing petrol and diesel prices, Vijayan said imposing fuel price hikes despite a fall in Brent crude prices amounted to ''daylight robbery''.

He also accused the BJP of repeating its ''usual deception'' of keeping fuel prices under control during the election period and emptying the pockets of the people after the voting was over.