The Kerala Government has decided to forego the tax accruing to it through the latest upward revision in petrol prices.
Consequently, the liquid fuel would be cheaper by Rs 1.63 in the state, the Chief Minister, Mr Oommen Chandy, has said.
The State Government stands to lose an estimated Rs 218 crore by deciding to forego the tax, the Chief Minister told newspersons here after a meeting of the State Cabinet.
The Central Government had announced a hike of a record Rs 7.54 in petrol prices on Wednesday.