Union Minister Nitin Gadkari has called on state finance ministers to reduce the Goods and Services Tax (GST) on flex-fuel vehicles to 12% in a bid to promote biofuel use. Speaking at the India Bio-Energy & Tech Expo, Gadkari emphasized the need for reducing fossil fuel imports and boosting biofuel adoption. His remarks come as part of a broader strategy to address both economic and environmental challenges through increased use of biofuels.
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- Nitin Gadkari, Union Minister for Road Transport and Highways, has proposed reducing GST on flex-fuel vehicles to 12%.
- The call to action was made during the India Bio-Energy & Tech Expo.
- Gadkari highlighted the need to cut imports of fossil fuels and support biofuel use.
- Flex-fuel vehicles can run on multiple types of fuel, typically a mix of petrol with ethanol or methanol.
- Gadkari has approached Maharashtra’s Finance Minister and Uttar Pradesh’s Chief Minister to support the GST reduction.
- He suggested that Maharashtra’s Finance Minister, Ajit Pawar, attend a GST meeting with Union Finance Minister Nirmala Sitharaman.
- Gadkari stressed that India spends up to Rs 22 lakh crore annually on fossil fuel imports, which poses both economic and environmental issues.
- The minister believes that reducing fossil fuel imports will benefit the agriculture sector.
- He highlighted the significant potential in the biofuel sector.
- Gadkari’s proposal aims to address economic challenges and improve environmental conditions by encouraging the use of biofuels.
