Hike in fuel prices helps Telangana mop up lockdown loss

Hyderabad: Rising petrol and diesel prices over the past few months are generating hundreds of crores every month for the state government’s coffers.

In Hyderabad, the fuel prices touched all-time high with petrol being sold at Rs 91.65 per litre and diesel Rs 85.50 on Friday.

 

The rising fuel prices have helped the government cover up the revenue losses incurred during the lockdown last yaer. Fuel sales took a severe beating in 2020-21 fiscal with no public transportation for the most part of 2020 and personal vehicles taken off roads from the third week of March to June.

Though lockdown restrictions were lifted gradually from July 1, fuel sales started picking up only since October, when all restrictions on travel and transportation were removed. The government lost nearly Rs 5,000 crore due to corona lockdown in 2020-21 fiscal till October.

 

However, revenue earnings through VAT (value added tax) on fuel witnessed a sharp rise from November. While increased…

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