From jittery crude oil prices to trade wars to currency fluctuations, the energy sector has had a bumpy ride in the past one year. With the government due to present its Budget in Parliament on February 1, its last before a general election due by May, all eyes remain on the government’s annual statement. Energy sector experts have a lot to track this time around. Will the government consider bringing petroleum products under the ambit of Goods and Services Tax (GST)?
Here’s what the energy sector expects from the upcoming Budget.
Gaurav Katariya, research head (commodity), Arihant Capital Markets:
“There have been talks in recent times that government should bring petroleum products under GST. However, it is a decision that will have an impact on our economy at macro level and therefore needs thorough analysis on different points like its effects on overall GST collection etc.”
“But since government is trying to appease the common man ahead of general elections, I am expecting that at least some decisive points will be noticed and we may see government taking baby steps towards bringing petroleum products under GST.”