Benefitting oil companies by price rise

Himanshu Shekhar

The oil companies will get maximum benefit from recent hike in fuel prices. According to an estimate, if a consumer spends one rupee on petrol in Delhi, the oil refining and marketing companies will earn 55 paise, The Central government will earn 29 paise and remaining 16 paise will go to state government exchequer.  In the case of Diesel, out of every rupee spent by the consumer in Delhi, the oil refining and marketing companies will earn 72 paise, 12 paise will go to the centre and the balance 16 paise will go to the state. This is what government has done in the name of deregulating fuel prices.

The recent hike has proved once again that this government is playing in the hands of Corporate and trying hard to make them happy with each and every policy decision. UPA loves to sing the song of the Common Man but when it comes to making policy, the incumbent coalition appears to be dancing on the tune of the corporate.

People are struggling to cope with the price rise of essentials. But, despite of controlling the price rise, the government is taking those steps which are fuelling it. Once the price of petrol and diesel goes up then the prices of essentials are bound to increase. This has a direct impact on the pocket of a common resident of this country. The public of this country is facing acute pain of price rise but policy makers are busy in singing the song of reforms.

It seems that they are unaware from the ground reality. They must think that what would be the cost of these reforms? They are going ahead with these reforms in the name of the betterment of public but what is the gain of a common man from these decisions. In fact, UPA much hyped Common Man is the only loser in this whole exercise.

The government is making it quite difficult to survive for all those sections of society, who doesn’t belongs to policy maker’s much loved elite class. India is known as the world’s largest democracy and for a democratic system people must be kept in mind before taking any policy decision but the incumbent governments never intends to do so. And this tendency of ignoring the concerns of common men is jeopardizing the situation of price rise and the whole economic regulatory system is appearing handicapped on the front of inflation.

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