Excelsior Correspondent
JAMMU, Apr 6: Amid the evolving global energy situation triggered by ongoing crises in West Asia, Sanjay Aggarwal, Chairperson FADA today expressed concerns over fuel affordability and stressed urgent need for sustainable mobility solutions.
In a statement issued, FADA chairperson raised the issue of high Value Added Tax (VAT) on Compressed Natural Gas (CNG) in Jammu & Kashmir.
Aggarwal said, “Currently, CNG attracts a VAT of 21% in the Union Territory, making it significantly more expensive compared to neighboring regions. In contrast, Delhi offers VAT exemption on CNG, Punjab levies only 3% VAT and Haryana imposes 5% VAT.”
Due to this disparity, CNG in Jammu & Kashmir is priced at higher rates, making it less attractive for consumers despite being a cleaner and more economical alternative to petrol and diesel.
Aggarwal said that higher tax structure discourages the adoption of environmentally friendly fuels, increases reliance on conventional fossil fuels and places an added financial burden on consumers.
He urged the administration to rationalize VAT on CNG, aligning it with neighboring states to encourage its usage as an alternative to petrol and diesel.
Aggarwal emphasized that EV charging infrastructure must be developed as an integral part of the Jammu and Srinagar Smart City Project and EV charging Stations should be installed under National Clean Air Programme (NCAP) in J&K.
He requested to prioritize this critical aspect of smart city development and ensure the swift execution of EV infrastructure plans
In addition to fuel and infrastructure concerns Aggarwal also underscored the critical need for uninterrupted and reliable electricity supply for automobile showrooms and service centers across the Union Territory.
Due to frequent power outages and inconsistent supply, many establishments are compelled to rely on diesel and petrol-powered generator sets for their daily operations.
To ensure minimum usage of Gensets that run on Petrol and Diesel, he said that it is essential that uninterrupted power supply should be given to automobile showrooms and service centers.
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