Mahe witnesses influx of vehicles from Kerala as fuel price goes up!

Mahe: The residents of the Union Territory of Mahe appear to be in flux as a result of Kerala's introduction of a fuel cess of Rs 2 on petrol and diesel. Vehicles are flocking to Mahe in large numbers in search of cheap fuel. According to petrol pump operators, more vehicles are travelling from Kerala to Mahe to fill up on petrol because of the significant price differential.

Mahe only charges Rs 93.80 for a litre of petrol but Thalassery charges Rs 108.19, or Rs 14.40 higher than Mahe. Diesel is Rs 97.12 in Thalassery and Rs 83.72 in Mahe, a difference of Rs 13.40.

Mahe is experiencing a significant vehicle rush as a result of Kerala's rising fuel prices, and several people are also carrying a bottle to buy additional petrol or diesel. Long-distance buses, cargo lorries, and smaller vehicles rushed to Mahe, according to pump operators, who reported a significant spike in diesel sales there as well. Sales in Mahe, where 40 to 50 litres of petrol are sold, rose by 20% in a single day.

Along with liquor, fuel is being smuggled from Mahe as the prices in the UT is cheap. If fuel is transported in a 12000-litre capacity tanker lorry, the profit is Rs 1,20,000 per trip. Such cases have also been registered at various stations including Chokli and Dharmadam.

The Kerala government implemented the budget proposals amid fierce protests by the Opposition. The cost of living shall soar in the state from Friday. As a measure to raise additional funds, the ruling Left government imposed Social Security Cess on the sales of petrol, diesel fuel, and alcohol, resulting in higher prices for all three.

While presenting the Kerala budget, Finance Minister K N Balagopal announced that the existing value of land would be increased by 20 per cent to bridge the gap between market value and fair value. He also proposed to impose a social security cess of Rs 2 on every litre of petrol and diesel.