By January end, the Indian Government plans to hike the prices of petroleum products. Yes, I know that’s bad news for you and me. Who likes to pay more? But no one can disagree that this price hike has been delayed long enough because of the weak-kneed, populist Central government that we have. Crude oil has touched $100 a barrel and the state-run oil marketing firms have been facing huge under-recoveries for a long time now. The total under-recoveries currently stand at Rs.72,000 crore!
Petroleum Secretary M S Srinivasan said,
“ The under-recovery for petrol currently stands at Rs 10 per litre, Rs 9 per litre of diesel, for kerosene it is Rs 19 per litre and for LPG, the under-recovery is Rs 320 per cylinder. “
And I don’t think it will stop here. Crude oil is expected to touch $150 a barrel by June this year!!! So, take this into account before you go to the showroom to buy the new Nano (or for that matter, any other vehicle).
Information Source: The Financial Express
3 responses so far ↓
Vijay Krishna Narayanan // January 12, 2008 at 3:46 am
Long, long overdue.
And is the Opposition already getting ready to organize mass protests, strikes, hartals, Parliamentary boycotts etc?
Krishna Aradhi // January 12, 2008 at 7:11 am
That goes without saying, doesn’t it? Forget the opposition. Even the ones in the government (the left parties) will oppose this. Those comrades just don’t care about anything but their rusted ideologies.
dilip ahuja // June 4, 2008 at 2:13 pm
Price hike is inevitable as the interntional prices for crude are rising constantly but at the same time Govt. should think to reduce the taxation part perticularly on the all petroleum products which is too high and the Govt. personal overheads on Ministers of State & Central too & of all PSU companies higher officials to reduce the losses of revenue of the nation which can be contributed to maintain the prices to some extend