Comparing the fuel price management mechanism that was in place throughout the UPA below Prime Minister Manmohan Singh with the present ‘chaotic’ state of affairs below Narendra Modi, Congress chief and former Minister Basavaraj Rayaraddi mentioned the skyrocketing costs of petroleum merchandise have been neither the results of crude oil price fluctuations within the worldwide market nor the COVID-19 pandemic however the unscientific taxation policy of the Centre.
“Crude oil price in the international market had fallen from $112 a barrel in 2014 to $62 a barrel now. The fuel prices in the domestic market were supposed to fall as a result. But, they are skyrocketing because of the Modi government’s unscientific taxation policy. Petroleum products are kept not under GST but under excise duty and VAT. The excise duty for a litre of petrol has risen from ₹9.48 a litre during the UPA regime to ₹32.90 a litre in the NDA regime. The excise duty for diesel has risen from ₹3.56 a litre to ₹31.81 a litre in the same period. The State VAT for a litre of petrol has risen from ₹18 in the Siddaramaiah government in the State to ₹26 in the B.S. Yediyurappa government. The exorbitant rise of taxes is the primary reason for the skyrocketing fuel prices in the domestic market despite a steep fall of crude oil prices in the international market. If the taxation is rationalised, the fuel prices would automatically come down. But the Modi government is not ready to do it as it had vested interests to serve,” Mr. Rayaraddi mentioned at a press convention in Kalaburagi on Monday.
Referring to the 55 lakh metric tonnes of crude oil stocked on the Indian Strategic Petroleum Reserves Limited (ISPRL) services, he questioned why the federal government was not releasing the inventory regardless of the oil costs are touching the sky. Visionary Prime Minister Manmohan Singh had began the ISPRL in 2005 to keep the crude oil inventory and I can’t perceive why the Modi authorities just isn’t utilizing it even after the oil costs are rising, he added.
“As BJP had no enough experience of administration and knowledge to run the country, the economy has collapsed under them in the last seven-year,” he added.
Congress leaders Priyank Kharge, Ajay Singh, B.R. Patil and others have been current.