Following a reduction of fuel prices by the Centre, the Kerala government on Saturday announced a cut in tax on the prices of petrol and diesel by Rs 2.41 and Rs 1.36 respectively. "Kerala government announces cut in tax on petrol and diesel by Rs 2.41 and Rs 1.36 respectively," state Finance Minister KN Balagopal said.

Earlier on Saturday, in a significant step aimed at providing relief to people from high fuel prices, the Centre announced a reduction in excise duty on petrol by Rs 8 per litre and on diesel by Rs 6 per litre. Making the announcement in tweets, Finance Minister Sitharman said that the move will have a revenue implication of around Rs 1 lakh crore per year. The minister, who made several other announcements aimed at curbing inflation said subsidy will be provided on cylinders under the Ujjwala scheme.