UPA comes under fire for not reducing petrol, diesel prices

Image
Makarand Gadgil Mumbai
Last Updated : Jan 29 2013 | 2:54 AM IST

Election times are around the corner and the Bharatiya Janata Party (BJP) is leaving no stone unturned to embarrass the United Progressive Alliance (UPA). BJP has fired a fresh salvo on the UPA government for reducing the prices of aviation turbine fuel (ATF) but not touching the prices of other petroleum products like petrol and diesel, which are used by the common man.

The posters hanging from electricity polls, walls, etc. say, "Wahre Congress Tera Khel, Havai Jahaj Ko Sasta or Motorcycle, Scooter aur Rickshaw Ko Mehnga Tel" (Compliments to Congress for making fuel cheaper for aeroplanes but making it dearer for the common man's vehicles like scooter, motorcycle, rickshaw etc.).

Former Petroleum Minister and senior BJP leader Ram Naik said, “Since July, crude oil prices have come down from $147 to $50 as on yesterday and the central government has reduced the prices of ATF five times in this period but it didn't consider reducing prices of fuels like petrol, diesel and LPG, which are used by the common man, at least once in this period."

“ATF, which used to cost around Rs 73.67 per litre in July, now costs only Rs 40.69 and petrol costs Rs 55.07 per litre. We demand prices of petrol should be reduced by Rs 5, diesel by Rs 3 and LPG reduced by Rs 50,” Naik said.

He said he was astonished by Prime Minister Manmohan Singh's statement that prices of petrol etc. could not be reduced till petroleum companies recover their losses. He pointed out if prices of petrol couldn’t be reduced to help oil marketing firms recover losses, why were ATF prices reduced.

When contacted, State Congress Spokesman Anant Gadgil said, "Currently, elections are going on in six states, so the central government can't reduce the prices of petrol and diesel as the model code of conduct is in existence. I hope the BJP understands that the aviation industry is in deep trouble not only in India but all over the world. ATF constitutes a large chunk of its cost and the government has reduced ATF prices not just to help the companies or reduce fares, but also to ensure the jobs of the common man are protected.”

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Nov 24 2008 | 12:00 AM IST

Next Story