PATNA: Petrol and diesel have become costlier by Rs8.45 and Rs 8.30 per litre in October after the hike by 33 and 36 paise per litre, respectively, on Sunday. It is the highest hike in a month since May last year.
Petrol was sold at all-time high of Rs 113.31/litre and diesel at Rs 104.91/litre in Patna on Sunday.
According to the executives of retail fuel stations, the petrol and diesel prices increased on 24 days in October.
Vijay Kumar, sales executive of a fuel station near Gandhi Maidan, said the daily sales had dropped by 15-20% this month compared to September. “Customers who used to get the tank of their vehicles full have reduced the fuel amount,” he said.
The skyrocketing fuel prices are burning a hole in the pockets of the common man. Mohan Kumar, a cab driver, said driving taxi was no longer a profitable business as his earnings declined while the maintenance cost of car increased with rise in fuel prices. “Despite having increased the rate by Rs30 to 60 per ride, I am still facing losses. Everything is costlier and it is hard to run the family,” he said.
Somesh Chatterjee of Lodipur guessed the fuel prices would be more than Rs120 per litre. “The government is making all the money while putting the burden on common people,” he complained.
“I have to think twice before taking out my scooty. I have been avoiding outing with my friends after college hours. I spent Rs1,150 on petrol in September and almost Rs1,500 in October,” said Jyoti Sinha, a college student and resident of Anisabad Colony.
Pankaj Kumar of Kadamkuan said he was now planning to get a bicycle as maintenance of his two-wheeler was getting impossible. “In Patna, too, petrol pumps should stop sales like in Kolkata for 30 minutes to protest fuel prices hike,” he said.
Sudhanshu Kumar, an economist at the Centre for Economic Policy and Public Finance, Patna, said the fuel prices have shown an upward trend because of increase in crude oil prices. “The international prices are expected to remain high due increase in global demand. In the short run, only option with the governments is to reduce taxes to provide relief to the consumers. It will also boost demand in the economy. The resulting fiscal deficit due to lower taxes can be compensated by government borrowing and disinvestment,” he said.
“Similarly, there is pressure on LPG prices, which also increased in recent times. Unlike petrol and diesel, LPG prices are still regulated and the under-recoveries or losses have increased and so has the subsidy burden on the government. Therefore, the tax policies need to be carefully calibrated to support the demand in the economy,” Kumar said.
