Petrol price cut: Cabinet minister asks for 'bold step' to check petrol prices

June 3, 2012

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New Delhi, June 3: Union Minister Vayalar Ravi disapproved of the petrol price hike on Saturday, and suggested a "bold may be taken to reduce the recent increase". The state-run oil companies have announced a reduction of Rs. 2 per litre in petrol prices on Saturday, which became effective from midnight, after increasing the price by Rs.7.50 per litre On May 23.

Minister for Overseas Affairs Mr Ravi, in a letter to Petroleum Minister S Jaipal Reddy, questioned the claims of oil marketing companies that they are incurring huge losses and asked his cabinet colleague to scrutinise the issue in detail. (Read: Vaylar Ravi's letter to Petroleum Minister Jaipal Reddy)

"Apparently, the claim made by oil companies that they are running at a loss seems to be untrue. As a matter of fact, the expenditure of oil companies, including salaries, is among the highest in India and there is a perception that funds are being wasted," Mr Ravi said in the letter.

"In this backdrop, I feel a closer scrutiny is needed before deciding on any further increase in oil prices. Instead, a bold look may be taken at reducing the recent hike," he said.

He is the second Union Minister after Defence Minister A K Antony to have expressed unhappiness at the petrol price increase. Mr Antony had on Wednesday criticised the hike saying it was "not a correct step" and the oil companies should have shown some "propriety" before taking the decision.

Cutting across party lines, leaders have voiced their dissent over the recent petrol price hike. Nationwide protests by Opposition as well as some of the UPA allies, followed by NDA's strike on May 31 clearly put pressure on the government to act.

Even after the announcement, key UPA allies and the Opposition are not happy with the reduction in petrol prices by the state-run oil companies. Dubbing the Rs. two per litre cut in price as 'token', UPA ally Trinamool Congress as well as other opposition parties demanded a 'complete rollback' and said they would not settle for anything less.

Reacting to the state-run oil companies to reduce petrol price, Trinamool Congress chief and West Bengal Chief Minister Mamata Banerjee said, "I am not happy at the cut in petrol price by Rs. two per litre. It is not enough. It is still a burden on the common man. There should have been a total rollback of the hike."

Terming the reduction in prices as 'totally inadequate', CPI National Secretary D Raja also demanded the oil companies should go for a 'complete rollback' because they had effected "such an outrageously steep hike when international crude prices were declining".

Maintaining that the government's view that it did not have any role in the price fixation for petrol due to de-regulation was 'ridiculous', Mr Raja said the oil companies have been following the government diktats regularly. "Otherwise, why did they not raise the prices when Parliament was in session," said Mr Raja. He said the decision came two days after nationwide protests by Left and other parties.

CPI(M) Politbureau said the partial rollback was "unacceptable" and Left parties will continue their agitation for reversal of the price increase.

BJP spokesperson Rajiv Pratap Rudy also pressed for a 'total rollback' and wondered whether the hike of Rs. 6 per litre after the partial rollback was 'acceptable' to the UPA allies. "I want to know whether they (UPA allies) are worth this," Mr Rudy said. He said people of the country are not satisfied with the token rollback and will teach the UPA a "lesson in the coming days".

Tamil Nadu Chief Minister Jayalalithaa termed the partial rollback as an "eyewash" and demanded a complete rollback. In a statement, the AIADMK supremo said, "This small reduction will not soothe people's anger. It will continue to be a burden on poor and middle class".

She said the decision by the Congress-led UPA to reduce the hike by Rs. two reminded her of the Tamil proverb, "feeding popcorns to the hungry elephant." Recalling her earlier criticism, Ms Jayalalithaa said petrol prices were hiked, when people were already burdened by the price rise because of the Centre's "wrong economic policies."

Odisha Chief Minister Naveen Patnaik too dismissed the partial rollback as 'meaningless'. Mr Patnaik said, "We demand complete roll-back in the hike effected in the price of petrol by the central government recently."

BJD had observed a state-wide bandh on May 31 seeking complete roll-back of petrol price hike and party workers had hit the streets to press for the demand. Mr Patnaik too had participated in the demonstrations against the petrol price hike terming it as a burden on the common people.

However, leaders in Congress have heaved a sigh of relief after drawing flak from allies as well the Opposition over the steep hike in petrol prices earlier. "We are happy that the price of petrol has been reduced by Rs. 2.02 per litre. It will give relief to the common man. Our party has great concern for Aam Admi," party spokesperson Rashid Alvi said.

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News Network
April 25,2024

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Kolkata: Defence Minister Rajnath Singh or Transport Minister Nitin Gadkari could have been the prime minister, said Trinamool Congress supremo and West Bengal chief minister Mamata Banerjee, subtly taking a dig at the Bharatiya Janata Party leaders relegated to the second rung of the organisational echelons.

Banerjee’s nephew and the TMC general secretary Abhishek Banerjee, on the other hand, attempted to stoke trouble within the BJP’s unit in West Bengal, saying that at least 10 more state legislators of the saffron party were keen to join his party and in touch with him.

"You (Rajnath Singh) are surviving at the mercy of Modi (Prime Minister Narendra Modi). You are saluting Modi daily to save your chair. You or Nitin Gadkari could have been the PM (prime minister) today," the TMC supremo said in an election rally at Ausgram in Bolpur Lok Sabha constituency on Wednesday. "There would have been no problem...at least there would have been a gentleman in the chair who knows minimum courtesy," she added.

Banerjee was responding to Singh’s diatribe against herself and the TMC government led by her. The defence minister, who had addressed an election rally in Murshidabad on Sunday, had criticised the TMC government for alleged corruption and anarchy in West Bengal.

Singh had referred to the attacks on the Enforcement Directorate officials on January 5 during a raid at the residence of the TMC leader Sheikh Shahjahan at Sandeshkhali in North 24 Parganas district of the state. It was followed by an agitation by local women protesting against atrocities by Shahjahan and his aides known to be owing allegiance to the TMC.

Singh questioned how the state government, led by a woman as the chief minister, could allow such atrocities on women to take place. He went on to say that Banerjee had lost all ‘mamata’ (affection and compassion) for people.

Banerjee shared a cordial relationship with Singh since the days when they both were ministers in the central government led by then Prime Minister Atal Bihari Vajpayee. Singh avoided personally criticising Banerjee in the past.

He, however, went ballistic against Banerjee on Sunday, triggering a strong response from the TMC supremo on Wednesday.

"The BJP is trying to get into the game of breaking parties, but they can't win in it. They poached two of our MPs, and we replied by taking two of their MPs, Arjun Singh and Babul Supriyo. Recently, by using ED raids, they inducted Tapas Ray. At least 10 top leaders of the BJP are in the queue to join the TMC," Abhishek said in another election rally in Murshidabad on Wednesday.

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News Network
May 4,2024

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Canadian Police said they have arrested three Indians they suspect were part of the alleged hit squad that had killed Hardeep Singh Nijjar, a Sikh separatist leader involved with the Khalistan movement, which calls for an independent Sikh state.

Nijjar's killing had become the epicentre of a diplomatic row between India and Canada last year after Prime Minister Justin Trudeau alleged the role of "Indian agents" in the murder. India had rejected the charge as "absurd" and "motivated".

The three arrested Indians - Karan Brar, 22, Kamalpreet Singh, 22, Karanpreet Singh, 28 - were living as non-permanent residents in Alberta for three to five years, said Superintendent Mandeep Mooker, who leads the Integrated Homicide Investigation Team. The police have also released their photos.

They have been charged with first-degree murder and conspiracy to commit murder, showed court documents.

Police said that none of the suspects were known to them earlier and they were investigating their possible ties to the Indian government.

The murder remains "very much under active investigation," Royal Canadian Mounted Police (RCMP) Assistant Commissioner David Teboul told a press conference on Friday.

"There are separate and distinct investigations ongoing into these matters, certainly not limited to the involvement of the people arrested today, and these efforts include investigating connections to the government of India," CTV News quoted him as saying.

Nijjar, a Canadian citizen who was wanted in India on various terror charges, was shot dead outside a gurdwara in Surrey on June 18, 2023. Trudeau's charge against India sparked a massive row later that year with both countries expelling diplomats of the other country.

A fresh row erupted earlier this week after separatist slogans on 'Khalistan' were raised at an event addressed by Trudeau, prompting New Delhi to summon their Deputy High Commissioner and lodge a strong protest.

On the sidelines of the event, Trudeau told reporters that Nijjar's killing had created a "problem" that he could not have ignored.

India rejected his comment and said it once again showed Canada provides political space given to separatism, extremism, and violence. "This not only impacts India-Canada relations but also encourages a climate of violence and criminality in Canada to the detriment of its own citizens," foreign ministry spokesperson Randhir Jaiswal said.

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News Network
April 20,2024

Union Finance Minister Nirmala Sitharaman, on Friday, said that the Bharatiya Janata Party (BJP) plans to reintroduce electoral bonds in some capacity following extensive consultations with all stakeholders, should it come back to power in the 2024 general elections, according to a report in the Hindustan Times (HT).

HT cited Nirmala Sitharam as saying, “We still have to do a lot of consultation with stakeholders and see what is it that we have to do to make or bring in a framework which will be acceptable to all, primarily retain the level of transparency and completely remove the possibility of black money entering into this.”

However, the Centre has not yet decided whether to seek a review of the ruling made by the Supreme Court (SC), she said.

She further added, “What the scheme, which has been just thrown out by the Supreme Court, brought in was transparency. What prevailed earlier was just free-for-all.”

Launched in 2018, electoral bonds were accessible for acquisition at any State Bank of India (SBI) branch. Contributions made through this programme by corporations and even foreign entities via Indian subsidiaries received full tax exemption, while the identities of the donors remained confidential, safeguarded by both the bank and the recipient political parties.

On February 15, a five-judge Constitution Bench struck down the scheme, deeming it ‘unconstitutional’ due to its complete anonymisation of contributions to political parties. Additionally, the Bench stated that the articulated objectives of curbing black money or illegal election financing did not warrant disproportionately infringing upon voters’ right to information.

FM Sitharaman said, some aspects of the scheme need improvement and they will be brought back following consultations.

She also lashed out at the Opposition’s claims that the BJP disregarded criminal charges against leaders who switched from other parties to join the ruling party.

The HT quoted her as saying, “The BJP can’t sit here and say, you come to my party today, and the case will be closed tomorrow. The case has to go through the courts that have to take a call; they will not just say, “Oh, he’s come to your party, close the case.” Doesn’t happen that way. So is this washing machine a term they want to use for the courts?”

She further said that the Union government plans to simplify the process of taxation and make it easy for investments to come through into the country.

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