Mizoram collects Rs 93.37 crore from fuel levy since September 2024: CM Lalduhoma
Aizawl: The Mizoram government has collected over Rs 93.37 crore following the introduction of a Rs 4-per-litre levy on petrol and diesel, Chief Minister Lalduhoma informed the State Assembly on Tuesday.
The revenue generated through the levy has been earmarked for strengthening social infrastructure and services, as well as road maintenance across the state.
The levy was introduced in September 2024 by the Zoram People’s Movement (ZPM) government alongside an increase in Value Added Tax (VAT) on petrol and diesel. VAT on petrol was raised from 5.23% to 10%, while the rate on diesel was increased from 16.36% to 18%.
Under the revised framework, the government imposed a cess of Rs 2 per litre on both petrol and diesel to support social infrastructure and services, along with an additional Rs 2 per litre earmarked for road maintenance.
Lalduhoma, who also holds the Finance portfolio, told the House that between October and December 2024 the state collected Rs 46.68 crore each for the social infrastructure and services cess and the road maintenance fund.
For the current financial year from April to December 2025, levies on petrol and diesel have generated Rs 33.43 crore for each of the two dedicated funds, he said.
The Chief Minister further stated that Rs 9 crore from the social infrastructure and services fund has already been released to five departments, including Health, Education and Social Welfare, to strengthen healthcare facilities and support various social sector initiatives.
According to the government’s allocation formula, 60% of the cess is earmarked for the education sector, while the remaining 40% is to be shared equally between the social sector and the health and wellness sector.
On the road maintenance front, Lalduhoma said Rs 15 crore has been allocated in the 2025–26 Budget for road construction and upkeep under the Public Works Department’s Mizoram State Road Fund Board.
The government said the levy is intended to create a steady revenue stream to support essential public services and improve road infrastructure across the state.