Latest News | Oil Marketing, Auto Stocks Decline
Get latest articles and stories on Latest News at LatestLY. Shares of auto and oil refineries and marketing firms fell on Tuesday in the backdrop of suggestions on the need to levy an additional 10 per cent tax on diesel-run vehicles to help cut emissions.
New Delhi, Sep 12 (PTI) Shares of auto and oil refineries and marketing firms fell on Tuesday in the backdrop of suggestions on the need to levy an additional 10 per cent tax on diesel-run vehicles to help cut emissions.
Union Road Transport and Highways Minister Nitin Gadkari on Tuesday said there was a need to levy an additional 10 per cent tax on diesel-run vehicles to help cut emissions, but later clarified that there was no proposal under government consideration to impose such a tax.
The stocks of Hindustan Petroleum Corporation Ltd fell 5.3 per cent, Bharat Petroleum Corporation Limited declined 4.11 per cent and Indian Oil Corporation dipped by 3.78 per cent on the BSE.
From the auto pack, shares of Ashok Leyland declined by 2.68 per cent, Tata Motors by 2.19 per cent, Eicher Motors (1.85 per cent), Mahindra & Mahindra (1.55 per cent), TVS Motor (1.17 per cent), Hero MotoCorp (1.06 per cent) and Maruti (0.30 per cent).
The BSE Auto index declined by 1.77 per cent to 36,406.77.
In the broader market, the 30-share BSE Sensex climbed 94.05 points or 0.14 per cent to settle at 67,221.13. The Nifty, however, pared its gains and ended marginally lower by 3.15 points, or 0.02 per cent, at 19,993.20 in a volatile trade.
Speaking at the annual convention of automobile manufacturers body Siam, Gadkari said the rising pollution level is a serious health concern and there is a case for increasing taxes to dissuade sale of diesel vehicles.
"I am requesting the Finance Minister to impose an additional 10 per cent GST on diesel engines/vehicles. This is the only way to phase out diesel vehicles," he said, indicating a meeting was scheduled with the Finance Minister for handing over a letter he had drafted on the issue.
But soon after he took to X, formerly known as Twitter, to clarify the government's position.
"It is essential to clarify that there is no such proposal currently under active consideration by the government," he said in a post on X, referring to media reports quoting him as suggesting an additional 10 per cent GST on diesel vehicles.
He emphasised that there was a need to embrace cleaner fuels to cut emissions.
"In line with our commitments to achieve carbon net zero by 2070 and to reduce air pollution levels caused by hazardous fuels like diesel, as well as the rapid growth in automobile sales, it is imperative to actively embrace cleaner and greener alternative fuels. These fuels should be import substitutes, cost-effective, indigenous, and pollution-free," he said on X.
(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)