International crude oil prices have observed a downward trend ever since Narendra Modi has assumed the PM office. The prices have almost halved from what they used to be pre-2014. But the effect of this downfall has hardly been witnessed in the lives of Indian citizens. They’re paying what they used to pay before the downfall began.
Statistically speaking, the crude oil prices that used to be Rs. 6330.65/barrel when the current NDA government took over on May 26, 2014, has now, on September 12, 2017, almost halved to Rs 3,368.39/barrel. But the price paid by a common man for each litre of petrol he buys has eventually increased. In May 2014, petrol used to cost around Rs 71/ litre. Now, in September 2017, it costs around Rs 79/litre. An increase that is quite shocking and difficult to explain.
What is more saddening is the fact that people are happily accepting this open loot by the government.
The government has used this fact very well by implementing the daily pricing policy. Since the inception of this policy on July 1, prices of petrol have been hiked by Rs 5.64 per litre and that of diesel has went up by Rs 3.72 per litre. Numbers that sound cruel enough to trigger massive protests from the masses had it been before 2014.
The protests have almost disappeared also because the price hike has gone unnoticed due to the daily price revisions. An increase of 5-7 paisa everyday steadily increased the fuel prices and did not let the public notice how massively they have suffered. This daily revision is just a cover up though for the main scenario. The bigger picture revolves solely around the unfair taxation policy levied by the government.
Before anything else, here is a short explanation of how and why the fuel prices are still high despite the fall in international crude prices
The taxes which stood at around 34% for petrol and 21.5% for diesel back in 2014, are now 58% for petrol and almost over 50% for diesel. Simply put, you are paying an extra Rs 25 for petrol and around Rs 20 for diesel. Add to that the VAT imposed by state governments. This makes the overall tax look much more discriminate.
Comparatively, those numbers are higher than almost every other nation in our neighbourhood. Sri Lanka, who were in an oil deal with India recently, too sell petrol at rates much less than those of India. Comparison becomes more annoying when done with Pakistan. The Pakistani government too pass on more benefits to its petrol and diesel consumers instead of pocketing more and more taxes from them. The bottom line thus states that the Indian government has forgot all bounds and have turned themselves into mere extortionists hunting down the common man.
Surprisingly, people who kept howling in protest when fuel prices were hiked even by a meagre 50 paisa are now supporting the Rs 10 hike and are all happy with it. Have a look at few of these comments that will tell you how people are enjoying their life in a fool’s paradise!
Massive hike in #petrol prices is a prime example of the failure of Congress-led UPA. This will put a burden of hundreds of crores on Guj.
— Narendra Modi (@narendramodi) May 23, 2012
Starting off with the then CM of Gujarat, Narendra Modi. He termed the price hike in petrol and diesel as an example of failure of the UPA government. Back then the crude oil prices were at over 100$/barrel which is now between 30-40$. Maybe, this has prompted the now PM, Narendra Modi, to keep a mum on this increasing price hike of petrol and diesel.
Now, talking about the blind following. It seems people who voted for BJP in 2014 are in no mood to accept that their choice has gone wrong at some places. Even after this unfair taxation, people are somehow trying to find ways to support or rather to defend their choice. Below comments and justification of BJP supporters is so illogical that you will feel like laughing on them:-
Did you care to read Modi’s tweet of year 2012. Why he was opposing petrol hike in year 2012? Why didn’t you tell him that petrol price should be hiked because we need to give subsidy on wheat and rice.
Petrol price rise will result in buses fare hike. Petrol price is same for everyone and it is not only for car owners. It is same for small bike owners as well.
Mr. economist, Public transport rates will also increase because of petrol price hike. And public transport in India is so worst that people would love walking instead of using public transport. Government should improve public transport first and then citizens won’t even mind petrol price up to Rs 100
Kaha le laate ho itni knowledge?
Again salute to your knowledge. Care to search the crude oil rates before justifying this act of government
So who controls the prices now? Baba Gurmeet Ram Rahim Singh with his magic?
US/UK have very good public transport and people love to use public transport in those countries whereas in developing nations public transport is still an issue .
The list goes on and on but we would rather truncate it here. This was just to give an overview of how people are getting fooled by various self-developed aspects of this price hike and also to show how people in power have gone quiet over their failure. A few of the government officials have even considered that a common man can bear the brunt of it all. Maybe, one who owns a bike or a car can, but surely not the ones who don’t. It seems like the government has forgot that fuel prices directly affect the prices of every day to day necessities. It seems they’ve forgot that petrol and diesel are used for private transport too which affects the cost of basic commodities ultimately. The brunt of this heavy taxation is getting equally shared by every poor citizen.
It is not likely that the government will wake up unless we remind them of the significant part they’ve forgot to consider in their taxation policies. Yes, supporting our government and trusting them is our right but correcting them when they go wrong is our duty. It is high time we take up this duty and wake our government up before we stand facing a self created recession.
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