Kerala Pushes for Fuel Alcohol & ATF Under GST: A Move Towards Affordability?

Kerala's Finance Minister, K.N. Balagopal, has set the stage for a crucial discussion within the Goods and Services Tax (GST) Council. On March 18, Mr. Balagopal expressed strong anticipation for a debate on bringing both fuel alcohol and aviation turbine fuel (ATF) under the ambit of the GST regime.

Addressing a press conference held in Thiruvananthapuram, the Finance Minister confirmed that this significant matter is slated for discussion during the GST Council's upcoming meeting, which is tentatively scheduled for April.

This announcement signals a renewed push from the southern state on a long-standing demand.

Mr. Balagopal underscored Kerala's consistent advocacy for the inclusion of these vital commodities under GST. The primary objective, he clarified, is to mitigate their current prices, thereby passing on a tangible benefit directly to consumers across the nation.

The state government believes that such a move would streamline taxation and potentially lead to more stable and lower fuel costs.

Highlighting the broader economic landscape, the Minister also emphasized the imperative for a comprehensive and strategic approach to tackle the persistent issue of escalating fuel prices throughout the country.

This call for a holistic solution suggests that Kerala views the inclusion of fuel alcohol and ATF in GST as a critical step in a larger effort to ensure energy affordability and stability.