The National People’s Party (NPP) Nagaland has expressed serious concern over the persistently high fuel prices in the state, which remain higher than in neighbouring Northeastern states like Meghalaya and Arunachal Pradesh. The party has appealed to the government to review the taxation structure so as to provide relief to the common people.
According to the NPP, as of early September 2025, petrol prices in Nagaland range between ₹97.75 and ₹97.98 per litre, compared to around ₹96.35 in Meghalaya and ₹92.50–₹92.66 in Arunachal Pradesh. Diesel in Nagaland is around ₹88.00 per litre, while it stands at ₹87.74 in Meghalaya and ₹80.49–₹82.20 in Arunachal Pradesh. This means that citizens in Nagaland are paying ₹5 or more extra for petrol and ₹6–8 more for diesel compared to their counterparts in Arunachal.
The NPP highlighted the wide-ranging implications of this price gap. Increased fuel costs have a direct impact on transport fares, affecting commuters, small traders and transport operators, it said adding, farmers face higher input costs, which ultimately drive up food prices.
Families and youth too are burdened, with rising fuel bills cutting into household expenses and restricting mobility, it further said.
The party pointed out that a major reason for the higher rates is Nagaland’s VAT/Sales Tax structure, which is steeper than its neighbours. Nagaland levies 21.75% VAT or ₹16.94 per litre (whichever is higher) on petrol, and 17.20% VAT or ₹12.83 per litre (whichever is higher) on diesel. In contrast, Meghalaya levies 13.50% VAT or ₹13.50 per litre on petrol and 5% VAT or ₹9.50 per litre on diesel, while Arunachal Pradesh charges 14.50% VAT on petrol and 7% VAT on diesel.
The “whichever is higher” clause in Nagaland, coupled with higher percentages, has kept pump prices consistently costlier, the NPP stated.
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While acknowledging that fuel taxes are often allocated for infrastructure and social development projects such as roads and schools, the NPP stressed the need for transparency and clear communication to the public.
“Without visible benefits, the high fuel cost adds undue burden on the common people,” the party stated.
The NPP further suggested exploring a targeted cess on urban fuel consumption that could be earmarked for maintaining urban infrastructure, while keeping the burden on rural consumers proportionate.
Though a constituent of the NDA, the NPP Nagaland reiterated that on issue-based matters, its priority remains the welfare of the people. “As a party that stands with the people, NPP Nagaland is deeply concerned about how such price differences affect everyday life. We believe that the issue deserves public awareness and open discussion, especially since fuel directly impacts every sector of society,” it said.
The party appealed to the concerned authorities to review the state’s fuel taxation and pricing structure, to bring parity with neighbouring states and provide much-needed relief to the citizens of Nagaland.
