Bringing oil in GST regime up to states: Rameswar Teli

STAFF REPORTER

GUWAHATI: The inclusion of oil and petroleum products in the Goods and Services Tax (GST) regime is a state subject, and the Centre has nothing to do with it, said Union Minister of State for Petroleum and Natural Gas Rameswar Teli here on Sunday.

Teli was answering questions from journalists about whether there is any possibility of the inclusion of oil in the GST regime to control its rising prices. The price of oil has risen by more than 70% over the last 12 months.

"Ministry of Commerce has fixed oil prices based on the international market," Teli said in the sideline of a function organized by Oil India Ltd (OIL) to distribute certificates and appointment letters to the successful candidates of OIL's Skill Development Institute, Guwahati.

"If the states decide to include oil in GST regime, they can do it. Rajasthan has imposed 35 per cent VAT on oil. The tax burden will go down if they bring oil under the GST regime," he said.

Teli said, "The capacity of Numaligarh Refinery Ltd got expanded from 3MMT to 9 MMT. Under the new plan, NRL will execute a bio-refinery with a project cost of Rs 1,750 crore using 5 lakh MT bamboo per annum as raw materials. The bio-refinery plant will produce 49,000 MT ethanol per annum as the main product.

"The expansion project, which involves the capacity enhancement of the refinery from 3 MMTPA to 9 MMTPA with a project cost of Rs 22,594 crore, is being carried out with a completion time of 48 months.

"We have proposed for blending 20 per cent ethanol in petrol in NRL. It will also be a boon for the bamboo growers of the state."

Teli further said the Centre had also okayed expansion projects of Guwahati Refinery and Digboi Refinery.

Teli distributed course completion certificates and appointment letters to the successful candidates of SDIG (Skill Development Institute, Guwahati).

Fifty-six trainees got their skills honed as electricians and welders.

OIL and six other oil sector companies fund SDIG, Guwahati. Altogether 1,000 unemployed youth undergo training in it in 16 different trades.

OIL Chairman-cum-Managing Director Sushil Chandra Das, OIL (Pipeline Service) Chief General Manager Sandeep Goswami and SDIG chief executive officer Jayanta Baruah were also present.

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