Mizoram Chief Minister Lalduhoma on Thursday said that his cabinet has affirmed that prices of petrol and diesel, which were hiked on September 1, will not be reduced. The chief minister's remark came amid protests by commercial vehicle owners, who demanded that the government revoke its order hiking prices of petrol and diesel.

Petrol price has been hiked from INR 93.93 to INR 99.24 per litre, while diesel rate has been increased to INR 88.02 from INR 82.62 for a litre.

Speaking to reporters in Aizawl, Lalduhoma said that the meeting of council of ministers held on Wednesday decided to continue with the existing prices of petrol and diesel.

Lalduhoma claimed that the hike was for social infrastructure and road maintenance.

He said that the government hiked VAT on petrol from 5.23 per cent to 10 per cent and on diesel from 16.36 per cent to 18 per cent.

The CM said that the government has also imposed a new levy of INR 2 per litre on both diesel and petrol for social infrastructure and services cess, alongside an additional INR 2 per litre for road maintenance.

He said that under social infrastructure and services cess, 25 per each of the revenue received will be used for human resource development, betterment of wellness infrastructure, skill development and women-centric projects.

The chief minister urged the people, particularly commercial vehicle owners, to understand the motive behind the government's decision as the hike was for the welfare and benefit of the people.

He claimed that despite the recent VAT hike and new cess, the current prices remain lower than pre-COVID period and three northeastern states -- Assam, Sikkim and Nagaland -- now levy higher prices than Mizoram.

Lalduhoma also said that the state government is yet to decide on handing over the state's lone airport in Lengpui to Indian Air Force (IAF).

He said that a working committee assigned to study handing over Lengpui airport to IAF or private agencies is currently assessing the matter and its report will be tabled in future cabinet meetings.

Earlier, Mizoram Commercial Vehicle Union (MCVU) had threatened to go on strike for an indefinite period starting from October 14 demanding reduction in fuel prices.

The union said that the hike in fuel prices has not only affected commercial vehicles but also the general public.

However, the union withdrew its plan after Lalduhoma assured them of positive action and requested them to wait till the cabinet meeting.

MCVU general secretary P Sanghmingthanga expressed disappointment over the cabinet decision to continue with the existing rates.

He told PTI that the union will soon convene a meeting to decide its future course of action.