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India On Media |
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| Politics
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| Petrol price hike |
| Petrol price hike: Congress says it was not consulted amid talk of partial rollback
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| INDIA
, 24-May-2012
5:45:46 AM |
| After widespread protests and political demands for a withdrawal of the huge petrol price hike of Rs. 6.28 plus local taxes effected last night, the government is considering a partial rollback, sources have said.
Sources said there could be an announcement of a Rs. 2 to Rs. 2.50 rollback in prices. There is huge political pressure on the government to withdraw the hike; sources said Opposition parties and allies apart, even leaders of the Congress, which leads the UPA, have said they did not know about the price rise and have joined the chorus that it be withdrawn.
Congress chief ministers like Shiela Dikshit had expressed concern yesterday and the party had reportedly given the states that it rules instructions to cut local taxes on petrol to reduce the burden on people. Uttarakhand, which has one of the newest Congress governments, announced a 25% cut in value added tax on petrol this morning.
Officially the Congress' spokesmen have been fielding tough questions and pointing out that petrol is deregulated and so subject to market prices. Oil Minister Jaipal Reddy, who is in Turkmenistan to sign a natural gas deal, has been asked to return and he shall do so today, a day earlier than scheduled.
Ally Mamata Banerjee has protested strongly and said the decision was not discussed with the government's allies even in Parliament which was in session till Tuesday. She said, "We don't want political instability. We made a commitment and if we topple the government now. There will be political instability. We are not like the Left. But just because we aren't leaving, doesn't mean that we won't protest or we won't oppose." The DMK's M Karunanidhi too says he was not consulted before the hike. And the Samajwadi Party too has asked for a rollback. "We demand immediate roll back of petrol price hike. The decision is anti-people," SP spokesman Rajendra Chowdhury said. (Read: Dinner diplomacy gone, Mulayam's party slams petrol price hike)
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