gÉÉŌ A.]ÉŌ. xÉÉxÉÉ

03.08.2010
Essar 1%
Shel .6%
Total 1.7%
• These are the statistics till March 31. In the month of April, May, the share of the
private players were 1.2% and PSU's were 98.8%. So when the petroleum product
prices are de regulated the state exchequer will be saved 1 lakh cr. every year. At
the present rate of international crude oil price de regulation will surely mean that
when the prices of crude oil go up the domestic retail price also goes up. But when
the international price come down, domestic retail price also come down. Without
de regulation, the social reforms and comman man's programmes would have been
cut to size and result could have been disastrous in future.
India currently produces only 60000 /Barrels/ of crude oil per day .75% of
the crude oil requirements are from imports. Before the revision, the under
recoveries of oil companies were to the tune of around one lakh crores. Oil
companies were losing Rs 3.73/litre of petrol, Rs. 3.80 litre of Diesel Rs. 17.92
Litre of Kerosene and M 261.90/LPG cylinder. Even after the recent hikes, the oil
companies are suffering under recoveries of Rs. 53000 crore. The centre imposes
excise duty on petroleum products and the states impose Vat.
If the centre and state decide not to have excise duty and vat on petroleum
products, substantially, the revenue of the centre and state will be reduced. If
a person buys an article for Rs. 10 and sells it for Rs. 8 and continues to do
so, be will become bankrupt. And as already pointed out this was what
happened in Greece and Spain. In 1970 and 73 crude oil prices were up from
1.2 $ per barrel to 3.65$ . Indiraji who was the Prime Minister, passed it on
to the consumers. In 1973 OPEC organization came into being. And in
1973-74, oil prices shot up to 10$ barrel and this was also passed on to the
consumers. Next came the oil shock of 1980. BJP and NDA had also hiked the oil
prices. Now our country is on the right track and we are moving forward with
common man’s welfare schemes.
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