Business Standard

CPI-M MP for 'total de-control' in diesel, petrol prices

Image

Press Trust of India New Delhi
A CPI-M member today sought "total de-control" in prices of diesel and petrol taking by surprise the government as well as the Chair, who wondered whether the party was revising its position on the issue.

Raising the issue of diesel and petrol prices, K N Balagopal contended that the benefits of the fall in prices of crude petroleum oil are not being passed to consumers in due proportion even as they have a policy of decontrolling the prices.

"Instead of decreasing the prices, you have increased taxes ...I am demanding total decontrol. Petrol should be given at Rs 45 a litre and diesel at Rs 40 a litre...," he said.
 

Balagopal insisted that after more than 45 per cent decrease in international crude oil prices, the prices of diesel and petrol should match and rued that government is decreasing prices by only Rs 4 of Rs 5 a litre.

Finance Minister Arun Jaitley, who was present, wondered "Is it CPI-M's position that all subsidies in the petroleum sector should be withdrawn as per decontrol...He wants total decontrol now. Understand the consequences."

Deputy Chairman P J Kurien also noted with a smile "you are also now supporting decontrol."

CPI-M leader Sitaram Yechury what his party was saying was that while the government has a decontrol policy, they are not bringing down the prices as per it after fall in crude oil basket price and instead is engaged in garnering revenue.

Later explaining his remarks outside the House, Balagopal said that policy wise the CPI-M is "not for decontrol".

"Policy wise we are not for decontrol. What I was telling the government was that if you are decontrolling price, pass on the benefits to consumers when the international crude oil prices are coming down," he told reporters.

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Dec 09 2014 | 3:12 PM IST

Explore News