homeauto NewsIndian Auto LPG Coalition urges 5% GST, echoing Andhra Pradesh’s VAT cut on Natural Gas

Indian Auto LPG Coalition urges 5% GST, echoing Andhra Pradesh’s VAT cut on Natural Gas

Suyash Gupta, Director General of the Indian Auto LPG Coalition, in a company statement, said, “Approximately 330 million vehicles in the country currently operate on environmentally harmful liquid fuels. Auto LPG presents a compelling alternative to traditional gasoline and diesel fuels...”

By Vivek Dubey  Feb 27, 2024 7:51:38 PM IST (Published)

2 Min Read

Indian Auto LPG Coalition (IAC) has urged the Central Government to reduce the tax on Auto LPG from 18% to 5% GST in a bid to foster cleaner mobility and combat the escalating climate crisis, This comes in response to Andhra Pradesh’s recent VAT reduction on Natural Gas from 24.5% to 5%, which has significantly lowered CNG prices and is expected to impact other clean automotive fuels like Auto LPG.

Suyash Gupta, Director General of the Indian Auto LPG Coalition, in a company statement, said, “Approximately 330 million vehicles in the country currently operate on environmentally harmful liquid fuels. Auto LPG presents a compelling alternative to traditional gasoline and diesel fuels, offering a combination of environmental, economic, and operational benefits for vehicle owners and society as a whole.”

The IAC also commended the Ministry of Road Transport and Highways’ (MoRTH) recent proposal to amend the Central Motor Vehicles Rules (CMVR). The proposed amendment aims to streamline and prolong regulations for vehicles retrofitted with Liquefied Petroleum Gas (LPG) kits by extending the validity of type approvals from three to six years. However, vehicles will need to undergo additional performance tests to qualify for this extension.