Petroleum prices to rise as Indians buying more cars: Obama

Pushing for greater use of public transportation system, US President Barack Obama has said the increasing tendency in India and China to buy more cars would put increased pressure on fossil fuel.

At a rally in the city of Buffalo, Minnesota, he argued in favour of public transportation system instead of depending on cars for commutation, saying mass transit system would be good for the environment.

In the long-term, he said, with countries like China and India starting to buy cars, the demand on petroleum and fossil fuels are going to be greater.

"Because one of the things, obviously, that we have to recognise is, is that no matter what we do, oil prices are going to be going up over the long term," he said.

 

"You're not always clear what's going on, but the long-term trend is just because countries like China -- they're starting to buy cars and countries like India are starting to buy cars, and so the demand on petroleum and fossil fuels are going to be greater and greater -- we've got to get a first-class transit system," Obama underlined.

He said China was leaving the US behind in the construction of multiple high-speed rail lines across the country.

"We don't have one right now. We used to be at the top. Now you've got China -- they're building multiple high-speed rail lines all across the country, leaving us behind," he said.

"But it's not just transit. It's our ports, our airports, our sewer systems, our water systems. We're going to figure out how do we make those kinds of long-term investments, but do so in a way that doesn't increase our deficit, and that's going to be a challenge, but I think it's going to be a priority," the US President said.

About a year ago, Obama had raised the rhetoric of 'Buffalo to Bangalore' when on May 4, 2009 he announced end to years of tax incentives to those US companies which create jobs overseas in places like Bangalore.

"It's a tax code that says you should pay lower taxes if you create a job in Bangalore, India, than if you create one in Buffalo, New York," Obama had said, as he announced end to years of tax incentives to those US companies which create jobs overseas.