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  • Category: Miscellaneous

    Is the center worrying about daily hike of petrol prices and drastic fall of rupee value?

    BJP President Mr.Amit Shah yesterday announced BJP government take a serious action plan to reduce fuel prices and also an action plan to improve the rupee value within a short period of time. So the BJP realized that the drastic raise of petro price on daily basis will affect their next election prospects . Government is also fearing about drastic drop of rupee value which may affect our country's economy. Is this announcement of Mr. Amit Shah is in view of upcoming Assembly election or he feels the people are feeling the pinch of skyrocketing fuel prices? Already the cooking oil prices also went up by Rs.15 to 25 and LPG cylinder price to Rs.859 at present from Rs.400 in 2014.
  • #648911
    Central Government is trying to persuade State Governments to slash State taxes on petroleum products because the taxes levied by State Governments on petroleum products are much more than Central taxes on these items.

    Shri Amit Shah is not a decision-making authority of Central Government. He is a very new MP of Rajya Sabha. He is not included in the Department-related Parliamentary Standing Committee of Ministry of Petroleum and Natural Gas.

    Beware! I question everything and everybody.

  • #648912
    People are feeling the pinch and the government is trying to find a way out to reduce the fuel prices. A few states have reduced VAT and almost all the states are urging the centre to bring down the excise duty on fuel which will bring much relief to the countrymen.

    The general elections is round the corner along with assembly elections in few states and at this juncture the government will always try to play the cards well to score good marks in the election. Keeping in mind the condition of economy and rising NPAs, which has its implication too, the government has to be very cautious while dealing with the spiraling rise of fuel prices.

    Sankalan

    "Life is easier when you enjoy what you do"

  • #648919
    Yes the cascading effect of price rise of other products is also having larger impact and the center is very much concerned with ever increasing petrol and diesel prices. As per the Finance Minister Arun Jaitely statement few days back, a long term policy is being formulated to bring control over the pries and consequently state governments are also requested to reduce the taxes to ease the situation. Over and above the rupee situation against the dollar is also creating ripples in the share market and center is taking all steps to bring everything under the control. We are going to see new actions, surely to benefit the people as the elections are nearing and no government would sit idle and leave the situation as it is. Only thing to as to what best this government would ease the price or will it bring some emergency fund to compensate the loss for the petroleum companies if government wants to reduce the price.
    K Mohan
    'Idhuvum Kadandhu Pogum "
    Even this challenging situation would ease

  • #648922
    The Central Government does not seem to be worried about the rising petrol and diesel prices. It made it clear time and again that it is not going to reduce the excise duty. The excise duty on petrol and diesel at the time of this government coming to power were Rs 9.48 and Rs 3.56 respectively. They were enhanced to Rs 21.48 and Rs 17.33 respectively over the past 4 years. In October 2017, there was a cut of Rs 2/ on the excise duty. The Government can reduce the excise duty which it raised but not interested in doing so and asking the State Governments to reduce the VAT. Some of the State Governments obliged. The BJP is in power in many of the States and unable to or not willing to persuade their own party governments to do so. Come election time, we may see some action.
    " Be Good and Do Good "

  • #648928
    Whatever may be the reasons, the petrol prices touched the highest rate. Now it is time to take actions for reducing the prices. Otherwise the government may face difficult situations. The central government should discuss with all the State governments and the taxes should be brought down. If they can bring this also into the purview of GST the taxes will definitely come down. Otherwise, it is becoming difficult to the common man to pay the price. The increase in these rates will effect the prices of all essential items also.
    drrao
    always confident

  • #648944
    The central government has categorically stated that it can't reduce or forego the excise duty that is being levied and has said that the fund is required for the nation's developmental activities. Whether Sri Amit Shah, as the President of the BJP, has any say in such matters may be a point that can be debated, the suggestion from his side at this juncture does have some political importance. We will have to wait and see whether the center will be forced to take back its words.
    'It is the mark of an educated mind to be able to entertain a thought without accepting it'. - Aristotle.

  • #648957
    Mr.Partha, Yesterday Andhrajyothi, a Telugu news paper published a report on this what they got through RTI. In UPA-2 government for the five years collected 3.4 lakhs crores but 7.9 lakhs crores by Modi's government in 4 years.Even the crude oil price is much higher than the present rate, Congress government collected Rs.9.48 as excise tax but BJP government collecting Rs.19.48 as excise tax. This include primary excise tax Rs.4.48, Road cess Rs.8 rupees and special surcharge Rs.7. In UPA government on diesel collected Rs.3.48 per litre but BJP government collecting Rs.15.48 per litre. In UPA government 2013-14 Petro tax collections is 78 thousand crores and 2016-17 the tax collection is 2.29 lakhs crores. The crude petrol per barrel at that time is 108.76 dollars but at present its cost is only 79.41 dollars only. So BJP is getting 3times more tax collection than UPA government. In UPA-2 government states on average used to collect Rs.12.50 and central government Rs.10 as tax but at present States on average collecting Rs.16.30 as tax but central government collecting Rs.20 above as tax.

  • #648960
    1. State Governments collect more tax per litre of petroleum products than the Central Government. So, if the rate is considered so high, the State Government can easily cut down their tax instead of criticizing Central Government.

    2. How does Amit Shah come into the picture in the decision-making process of pricing of petroleum products.?

    Beware! I question everything and everybody.

  • #649018
    Govt is always worried when any fiscal mishap takes place whether it is rise of essential commodities or decrease in the value of Rupee.

    Govt is supposed to take corrective actions and has to do the balancing act. Sometimes one action leads to other adverse effects and even the expert economists are at a crossroads to understand what to do.

    The opposition takes advantage of this situation and starts singing the songs of public unrest.

    Knowledge is power.


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