[tanwaramit]

Thats a great move by the Goan government. As some one has said, he is an IIT engineer and knows his job.

Also, many of the BHPians have pointed out that he will make up loss by increasing the taxes somewhere else, why dont we think that he will make up for the losses by optimizing costs/expenses at some other end.

Managing expenses (sometimes lavish) by government is known to everyone, its time they show us how well they do it.

[Joy]

Kudos to Goa Govt.

In India, any product pricing which goes up rarely comes down. Even if the they don't reduce it by Rs.11/-, a small reduction of Rs. 5-8 will create immense pressure on all other state governments in India. And if he succeeds, may God save the corrupt politicians and their lavish lifestyles.

[misquitas]

Originally Posted by carwatcher

I was planning to start this thread as this is an old news, but was waiting for the reduction first as at first people won't believe it and then this could be postponed, etc. But yes, our Honourable CM of Goa is a person whom we all trust very much and I am sure he will keep his words. He is an IITian and is a very good administrator, thats what I have been hearing since I came to Goa 5 years ago but I have not witnessed the change by my own eyes, so let's see.
Yes the Petrol will be priced cheaper by Rs.11/- from April 2 onwards when the Budget would be presented by the CM himself. He will achieve this by removing the VAT on Petrol and not by reducing it. The total VAT collection from Petrol was Rs.160 crores last year. It will be done first time in the history of any state and if found successful may be adopted by other states (atleast BJP ruled ones).
My take on this (from what I have read and understood):

In fact, I had posted news about the reduction in petrol prices here in Goa quite some time ago (on 7 March), a day after the BJP was voted into power. My post was in the The Official Fuel Prices Thread.

http://www.team-bhp.com/forum/indian...ml#post2705377

Having said that, I quite agree with most of your views. In fact, Chief Minister Manohar Parrikar is aware about the possible purchase of petrol from across the border and has some plans to resolve the issue.

Incidentally, I have just sent the CM an SMS regarding the discussions on this thread. In case he reverts to me on this, I will let you guys know about it.

By the way, Parrikar is quite active on facebook. His profile is:

http://www.facebook.com/parrikar.manohar


http://www.facebook.com/manoharparrikar

@theMAG: A small correction in your post. People from Goa are known as 'Goans' and not 'Goanese'.

[akshay380]

I can imagine state of fuel pumps from Karwar now. Poor souls!

Originally Posted by misquitas

Incidentally, I have just sent the CM an SMS regarding the discussions on this thread. In case he reverts to me on this, I will let you guys know about it.

I doubt he will reply today

[pgsagar]

Some teambhpians are worried about populist measure and loss to exchequer etc. Please do not be. There will always be loss to exchequer in this nation --- even if they sell petrol at Rs.500 a litre. Money will always be siphoned off from Govt. coffers. More money in the coffers doesn't mean richer India. It means more money to be routed to swiss banks. So, we might as well have some populist measures.

[carwatcher]

Originally Posted by misquitas

Incidentally, I have just sent the CM an SMS regarding the discussions on this thread. In case he reverts to me on this, I will let you guys know about it.

I was kinda sure that someone would have definitely posted on T-BHP regarding this reduction and was also sure that sooner or later someone will start this thread. My bad, I missed your post.
OT : Are you sure as to what you just did. Now our CM will also be addicted to T-BHP and I hope it doesn't affect his routine. (Just joking, NO offense meant).
I am confident if he just gives one thing to us Goans, he will win even the next election easily like Nitish Kumar and that thing is 'Proper Administrative Set-up'.
Infact he has mentioned in the first press conference after taking oath that he will try his best to give Goa a proper administrative set-up in the next five years as there is absolutely NO administration in any of the Govt. departments and all other things will automatically fall in place. Very apt understanding of the situation, I must say.
May God bless him.

[misquitas]

Originally Posted by akshay380

I can imagine state of fuel pumps from Karwar now. Poor souls!

It was always a known fact that a large number of motorists from Majali and Karwar in Karnataka regularly frequent Pollem (Goa) to fill petrol, even with the current prices. In fact, people also regularly cross over to Goa's borders for cheaper Goan liquor as well, a situation perhaps similar with Pondicherry and TN.

The problem confronting Parrikar is to ensure that Goans (or those residing in Goa) are the main beneficiaries of this grand plan. As someone has suggested on this thread, levying some sort of tax on outstation vehicles at Goa's checkposts (north and south) could be one solution in this regard. There could be other solutions, but let us wait and watch Parrikar's response to this issue.

If Parrikar's plan to reduce petrol prices turns out to be successful, it could well put pressure on other state government's to emulate this populist scheme.

[filcord]

Making petrol cheaper is not something I am against. However I would not want the loss to revenue to be filled by some other unwarranted taxation.
Actually there is a lot of scope to decrease taxation in Goa, by streamlining the revenue collection and keeping a tight check on wasteful expenditure. The previous Government spent money so lavishly that it could only be due to siphoning off by politicians and bureaucrats.
For example, they built a new cultural centre (Ravindra Bhavan) at Margao, and within 18 months replaced the entire 1000-odd theater-style seating on the ground that it was uncomfortable! I'm sure other Goan readers will have similar examples to quote.

[akshay380]

The budget session has been postponed to Monday due to sudden demise of Mr Matanhy Saldhana, Tourism Minister early morning today. He was such a noble soul. RIP fighter.

Originally Posted by filcord

For example, they built a new cultural centre (Ravindra Bhavan) at Margao, and within 18 months replaced the entire 1000-odd theater-style seating on the ground that it was uncomfortable! I'm sure other Goan readers will have similar examples to quote.

A lot actually. Someone from BJP had made a list of such things IIRC.

[moralfibre]

Originally Posted by Samurai

Now the Goa police at the border will also check for extra petrol cans in your trunk, in addition to the usual things they look for.

Not sure about the border around Karnataka but at Goa border outpost near Maharashtra, Goa police let you through without a check. It is the MH police that acts nasty and makes you unpack your luggage very often asking for "Goan products".

Originally Posted by theMAG

Excellent policy: pro-citizens. If true/implemented, hats off to the Goanese government.
However, this will immediately create a black market for cheaper petrol from Goa around its neighboring states, atleast in the surrounding vicinities.

Goan government Mag. There is a black market that exists even today since Petrol and Diesel is cheaper in Goa at current rates as well. Not much, but by somewhere around Rs. 5/- or so.

There is a way around this if we look at the example of Singapore & Johor Bahru (Malaysia) in the south east. Fuel is cheaper in Malaysia by half as much as that of Singapore and thereby Singapore registered vehicles have a tendency to go and fill up at Johor. But, this doesn't happen. Reason:

Any car attempting to leave Singapore with a petrol tank which is less than 3/4 full runs the risk of being fined a significant amount - this is to protect the Government's revenue. At the same time, a Singapore registered vehicle doesn't get more than 20 liters of fuel at any bunk in Malaysia.

The Government of Goa could consider implementing such a policy too. It won't be difficult. I was also told that they would be implementing some kind of a toll for out of state registered vehicles entering Goa.

Originally Posted by carwatcher

1. Yes people from neighbouring states will get advantage, but as most of the CVs are Diesel ones, so the impact won't be that high. This move is anyway done in the name of Aam Aadmi, he will gain from it whether he is from MH or KA.

I was told that VAT was being abolished on Petroleum products and not just Petrol. Correct me if I am wrong.

2. Yes the Petrol pump owners on the 20-30 KM vicinity will suffer.

How?

3. I can't understand that if people travellling 30-40 kms just for filling petrol, agreed that they will save but they don't value time or what. Two way distance would be 60-70 kms and easily 1.30-2.00 hours.

You are right. Petrol around Wakad area of Pune (15 kms from my place) is cheaper by Rs. 1/-. I never find it worth to go and fill up there so even if it would be cheaper by Rs. 10/- in Lonavala (58 kms from my place), I won't make an effort to travel unless I run a tourist taxi business.

[m8002?]

Originally Posted by moralfibre

Fuel is cheaper in Malaysia by half as much as that of Singapore and thereby Singapore registered vehicles have a tendency to go and fill up at Johor. But, this doesn't happen. Reason:

Any car attempting to leave Singapore with a petrol tank which is less than 3/4 full runs the risk of being fined a significant amount - this is to protect the Government's revenue. At the same time, a Singapore registered vehicle doesn't get more than 20 liters of fuel at any bunk in Malaysia.

This can never be implemented in India. If you pay 50/- at the check post..not just a full tank but also 2 jerry cans of petrol can be brought in.

Even now, there are many Sumo and Indica cabs who go to Hosur from bangalore and tank up there. This for 3 bucks diff. What they do is this..they pick up people from the bus-stops going towards hosur for Rs.2o each/- and similarily on the way back. That pays for their transport costs. And to my knowledge, there is no check of cars/cabs to prevent them carrying fuel in cans. This has slightly reduced now since the toll booth came up at the border but it was rampant 3-5 years back.

The distance people intend to travel to tankup depends on the perceived value they gain. Here we are talking of around 15Rs difference between the bordering town in karnataka and goa. For a full tank of 50 lts, thats 750/- savings. Whats his additional cost of travelling 25km to and fro? 4-5 ltrs? thats 250 Rs. So there is still a gain of 500Rs every tank fill.

[recshenoy]

BTW, in budget today in Karnatak CM, DVS annouced that diesel tax will be cut down from 18 to 16.5% percent. I saw the news flash. Diesel is at 46 AFAIK in Karnataka. So i guess it will be cheaper by 50 paisa. any one has diesel price calculation for Karnataka?

[akshay380]

Originally Posted by m8002?

The distance people intend to travel to tankup depends on the perceived value they gain. Here we are talking of around 15Rs difference between the bordering town in karnataka and goa. For a full tank of 50 lts, thats 750/- savings. Whats his additional cost of travelling 25km to and fro? 4-5 ltrs? thats 250 Rs. So there is still a gain of 500Rs every tank fill.And while at it, why not fuel themselves with some cheaper liqour as well ;-)

I am sure the CM will have something planned or will plan to curb this. In other news heard that the taxes on liquor are going to be increased in lieu of petrol Good for petrolheads, bad for drunkards

[Santoshbhat]

A difference of Rs. 11 + in the cost of fuel between two neghbouring states is huge. THe huge difference will be looked as potential to make huge bucks by black marketeers. What if these guys load the petrol in tankers from Goa, bribe their way through state check posts and sell it to the neighbouring state vendor? Potential for a scam this.

[suzuki san]

I am waiting eagerly for confirmation of this reduction.
So glad I moved to Goa - and bought a Nano!!!!
Expect to see a lot of me on NH 17!!
I'm loving it.

SS