The dawn-to-dusk hartal called by Left parties and BJP against fuel price hike in the State was total.

Shops and business establishments remained closed on Thursday and there was no public transport as KSRTC and private buses were off the road.

Attendance in various State government and private sector establishments were minimal because of lack of transport.

No sales tax

The State Cabinet today decided to waive the additional revenue to be accrued through sales tax from the latest petrol price hike.

The Chief Minister, Mr Oommen Chandy, said the tax waiver would bring the petrol price down by Rs 1.63 a litre in the State.

On earlier occasions, when the Centre hiked the prices, the State government had given up the additional income the State exchequer could have received on account of the increase.

The State exchequer stands to lose Rs 218 crore because of the decision. Mr Chandy said he had urged the Centre to reconsider the hike in view of the difficulties it posed to the people.

Port scene

Officials in the Kochi Port said that 61 per cent of the employees reported for duty in various departments of the port in the first shift onwards. Besides the cargo handling operations were in full swing in various berths.

However, movement of cargo to and from the port was affected as there was no truck/trailer movement from the port area to various destinations. There were reports of blocking vehicles carrying employees of various IT firms in InfoPark.

Total shutdown

The shutdown call, given separately by the CPI(M)-led LDF and BJP affected normal life throughout the State with shops remaining closed and buses keeping off the roads.

Schools and colleges went without classes and attendance was thin in government offices and banks. The protest, however, did not affect rail traffic.

Barring minor incidents of stone-pelting, no violence was reported from anywhere in the State.

CII stand

Meanwhile, CII in a statement issued here said that rationalisation of petroleum prices is one of the most important reforms that industry has been advocating and it has been high on CII's agenda.

The current under-recoveries in diesel and LPG requires immediate action to ensure that dual pricing of diesel is introduced, where non-farm use of diesel should have minimum subsidy.

Also the huge subsidy on urban use of LPG should be phased out. The increase in price of petrol is quite steep and would not resolve the issue of ballooning fuel subsidy.

CII urged the government to address the subsidies in diesel and LPG urgently. Kerosene being a poor man's fuel should continue to get the government support for the time being, the statement added.