Petrol bunks in border States woo motorists from Andhra Pradesh
A busy fuel outlet at Ponthanapalli in Karnataka borders near V Kota mandal of AP.
Tirupati: The difference in prices of petrol and diesel in the two neighbouring states Tamil Nadu and Karnataka has been wooing the motorists living in the border areas of Chittoor district. The price variation has further widened following the reduction of taxes by the Central government.
As the BJP ruled Karnataka government also followed suit by slashing the VAT on petrol and diesel, now there was a difference of Rs 11.44 on per litre petrol as on Tuesday between Dasarlapalle in V Kota and the nearby Pothanapalle of Karnataka borders at hardly 500 meters away. Similarly, there was Rs 13.05 difference in the prices of per litre diesel.
In V Kota, the price of petrol was Rs 112.34 while it cost Rs 100.90 at the outlet in the nearby Karnataka border. Diesel was sold at Rs .98.18 per litre in V Kota whereas the Karnataka outlet has been selling it at only Rs 85.13. Having such a huge difference in the prices, the volume of sales between the two areas show a lot of variation.
After the price drop in Karnataka, the sales in Ponthanapalle have increased by around 30 per cent whereas Dasarlapalle has been losing accordingly. As a result, it was learnt that a HP petrol bunk in V Kota mandal was closed recently.
Another neighbouring state Tamil Nadu also reduced VAT by Rs 5 on both petrol and diesel whereas AP government was not inclined to do so. As a result, the price difference between AP and Tamil Nadu amounts to about Rs 8.50 per litre petrol and Rs 4.50 in the case of diesel. People from Kuppam and surrounding areas go to nearby Tamil Nadu or Karnataka borders according to their convenience to get the fuel.
As the eastern parts of district have borders with Tamil Nadu, people, especially having four-wheelers and heavy vehicles from Nagalapuram, Satyavedu, Vijayapuram, Nagari and other areas prefer to go to the borders and return with full tanks.
To woo the customers, the petrol bunks in borders are even displaying the boards highlighting the difference in prices between the two states. An outlet in Karnataka borders has been distributing pamphlets also. For those going towards the two neighbouring states, the much reduced prices of petrol and diesel have become a boon with which they return home only with full tanks.
Not only petrol and diesel, those two states have been attracting people of AP by offering branded liquor at lesser rates whereas in AP the popular brands were replaced by unknown brands. It was learnt that there is above Rs 100 difference per quarter of any popular brand between the two states, even though it is difficult to get it in AP. Undoubtedly, Karnataka and Tamil Nadu have been gaining the additional tax revenue from the people of AP which has been losing it with heavy taxes.