HOT TOPICS
SPOTLIGHT AGENCIES
+5Rs Petrol, +3Rs Diesel & +30Rs LPG?
Written By tsubba - 4 June, 2008
Bangalore Mysore Pune amenities
What is the impact of this going to be? Steep hike in petrol, diesel, LPG prices; PM to address nation http://www.hindu.com/thehindu/holnus/000200806041349.htm New Delhi (PTI): In the highest ever price raise, the government on Wednesday announced a Rs 5 a litre increase in petrol, Rs 3 on diesel and Rs 50 per LPG cylinder together with customs and excise duty cuts to combat spurt in global oil prices. The hike announced by the UPA government, with less than a year to go for general elections, was met with opposition from its Left allies who announced a countrywide stir. Prime Minister Manmohan Singh will address the nation at 2030 hrs today to explain the rationale behind the hike. "We were left with no option," Petroleum Minister Murli Deora told a packed news conference after a meeting of the Cabinet Committee on Political Affairs that arrived at the decision. State-run Indian Oil, Bharat Petroleum and Hindustan Petroleum would have suffered a revenue loss of Rs 245,305 crore this fiscal without these measures, he said. "Due to the relentless increase in international oil prices, it has now become necessary for the consumer... to shoulder a small part of the increased burden, through a marginal hike in prices." Petrol and diesel prices were last raised in February and the new prices will come into effect from midnight tonight. Crude prices, however, were trading at $ 124.01 a barrel in New York today, down $ 11 from its May 22 peak of over USD 135 a barrel. The government also announced an across the board 5 per cent cut in customs duties, bringing rates on crude to zero, on petrol and diesel to 2.5 per cent and on other products like ATF and naphtha for non-fertilizer use to 5 per cent. Besides, excise duty on petrol has been cut by Re one a litre to Rs 13.45 and on diesel to Rs 3.60. Also see ... A dilemma called oil Vikram S Mehta http://www.indianexpress.com/story/317773._.html Inter ministerial turf battles, lack of leadership and weakening hold of Central government over state governments have led us to the present stalemate The government does little or nothing to stem the losses being racked up by the public sector oil marketing companies and sooner than later these companies start rationing petrol and diesel. The consequent consumer backlash, particularly from the farmers whose sowing season will have been disrupted, heralds the beginning of the end of this administration. Or, the government does indeed raise prices, rejigs tax rates and whatever else required to pull the oil companies back from the brink of financial collapse. But then in the aftermath, the Left parties withdraw support; the government loses its majority in Parliament and the Congress party is pushed into elections under unpropitious circumstances. High gas prices hit consumers worldwide By ANGELA CHARLTON - 4 days ago http://ap.google.com/media/ALeqM5jtthj7Gk33jMCCv9Mjg0dQFWjikA?size=m Consumers, gas retailers and governments are wrestling with a new energy order, where rising oil prices play a larger role than ever in the daily lives of increasingly mobile people. But as the cost of crude mounts, the effect on the price at the pump varies startlingly — from Venezuela, where gas is cheaper than water, to Turkey, where a full tank can cost more than a domestic plane ticket. Taxes and subsidies are the main reasons for the differences, along with lesser factors such as limited oil refining capacity and hard-to-reach geography that push up prices.
COMMENTS
bangalore-guy - 5 June, 2008 - 17:02
Diesel should not be allowed to be used for private passenger vehicles. And certainly not for SUVs and Super luxury vehicles..
What the heck. People who can buy a Merc/Audi cant buy petrol to satiate the thirst of their cars ??
http://clean-and-green.blogspot.com
Shrivalli - 4 June, 2008 - 13:05
narayan82 - 5 June, 2008 - 02:46
PRAJA.IN COMMENT GUIDELINES
Posting Guidelines apply for comments as well. No foul language, hate mongering or personal attacks. If criticizing third person or an authority, you must be fact based, as constructive as possible, and use gentle words. Avoid going off-topic no matter how nice your comment is. Moderators reserve the right to either edit or simply delete comments that don't meet these guidelines. If you are nice enough to realize you violated the guidelines, please save Moderators some time by editing and fixing yourself. Thanks!