Planning Commission Deputy Chairman Montek Singh Ahluwalia has said that the Centre has decided ‘in principle' for deregulating diesel prices, but from when has not been decided. “Our oil prices are not in line with the global prices,” he said in a question-and-answer session on the XII Plan at a city college here on Tuesday.
He said there was agreement on the need for deregulating diesel prices, meaning cutting diesel subsidy, but no time schedule had been decided upon. He said the public was not aware of the huge cost of subsidising diesel. The money to foot the diesel subsidy bill had to come from the rest of the economy. There was a pressing need to educate the masses about this cost and its effects. He said energy efficiency should be a focus area in the XII Plan because there would be a spike in energy demand.
Keywords: diesel prices deregulations, Planning Commission
Everyone is talking about losses for the Oil companies due to Rs 14.50/litre subsidy provided on Diesel but nobody actually talks abouts the Rs 18/litre of Taxes on the same. If government reduces the taxes on Diesel than to an extent problem will be solved of losses on Diesel to the oil companies. Whatever taxes we pay actaully goes to the Swiss Bank A/Cs of the corrupt politicians through diffrent scams & nothing comes back for the welfare of the nation.
Unfortunately Montek is not interested in eliminating black money from the Indian economy and always expressing views against middle class and poor sections of the society. GDP is nothing do with the commonman and ruralmasses.
Now this is the time for Goverment to shrink their subsidies to overcome
from the huge fiscal deficit.Increasing the rate of disel vehicles was a
good step as well as eco friendly.rbi has also asked the goverment to
deregulate the price.
Shame to follow the diktat of the Word bank instead of the interest of the citizens of India.The Indira Congress party needs to be dismissed
soon for its various commissions and omissions,especially its penchant
for signing agreements with the likes of the USA etc without Parliament mandate,though both MM Singh and Ahuliwalia are NOT ELECTED and hence their holding positions is UNDEMOCRATIC,more so, as they are betraying India at every opportunity. Please google for:-1.OMCs are profitable. 2.What are under-recoveries. 3.MM Singh the economic hitman.
Deregulating Diesel prices is a long-awaited move. Not just the masses, but well-off people are taking advantage of the subsidy on the price of diesel at a huge burden to the government and the economy; the growth in the number of high-end diesel cars is proof of this. Technically, Diesel vehicles produce 24 times more NOx and particulate matter than petrol vehicles. The large carbon footprint and the effect on the air-quality add to the woes of the people.
It is high time the use of diesel for personal conveyance is discouraged.
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