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The Hindu
The Hindu
National
The Hindu Bureau

Will fuel prices remain stable now that polls are over, Opposition asks government

The Opposition parties on Monday, during the Question Hour in the Rajya Sabha on fuel prices, demanded to know if the prices will be hiked now that the Assembly elections were over.

In response, Minister for Petroleum Hardeep Singh Puri said it was up to the oil marketing firms to decide.

“The price of $19 56 cents on March 25, 2020 went up to $130 and now it is down to $109. Oil marketing companies will take their decisions. They will proceed once they can no longer bear it. If they don’t have the margin or cushion, they will take the appropriate step,” he stated. 

He was replying to a question raised by Congress member Chayya Verma, who said that though the fuel prices were deregulated, the government exercised control over these. “They increase the fuel prices whenever they want and keep it stable during the Assembly elections,” she observed. 

‘Polls held all year long’

Countering this, Mr. Puri said that in India, elections were held all year long and in October, the next round of Assembly elections begins. The government only occasionally interfered like they did on November 4 last, when the cost of diesel was slashed by ₹10 a litre and petrol by ₹5 a litre. 

Congress’s K.C. Venugopal interjected at Mr. Puri’s reply, pointing out the multiple price revisions in the past. “Comparing to the period of January 1, 2021 and July 9, 2021, you increased the price of petrol 63 times and the price of diesel 61 times. Anyway, since November, we are very much relieved because the government is not increasing the prices even though crude oil prices are high. The country needs an answer from the Minister: Is the relief going to continue or not?”

Leader’s comment

Mr. Puri reiterated that the decision on prices were taken by the companies and not the government. “About those 63 occasions, I would like to remind the hon. member that some were for increase and some were for decrease. On 5th March, a political leader made a statement, saying fill up your tanks quickly because petrol prices are going to go up as elections are over. And the consumption went up by 20%. His comment encouraged hoarding,” he added. 

The opposition was livid at Mr. Puri’s response. Leader of Opposition Mallikarjun Kharge said the Minister, instead of replying to questions, was using the platform to make political speeches. 

Earlier, John Brittas (CPI-M) stated that the government had collected ₹3,72,790 crore in the form of cess and excise duty. “Will he stop the practice of bringing in cess and surcharge which means that he denies the rightful share of the State governments?” 

Mr. Puri said the taxation was only one aspect of it. “At the end of the day, we have to provide relief to the consumer at the point of consumption, and a number of steps have been taken in that direction.”

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