Fortnight of ‘insensitive’ price hike

Coronavirus pandemic has crossed the four lakh mark and the single day spike has gone beyond 15000, this is the toughest time for the country

1. India faces tough time due to the pandemic

The government has failed in the prevention and handling of the coronavirus pandemic,the lockdown could not control the spread of virus but pushed the economy into crisis.

2. Government failed to handle the pandemic, lockdown pushed the economy in crisis

Instead of providing relief to the suffering people, the government is adding to their problems. The government has been hiking the price of petrol and diesel continuously for 15 days.

3.Petrol and diesel prices are on a rise since 15 days continuously

The price of diesel hit a record high on Sunday after state-run oil marketing companies raised its rate by 60 paise per litre and that of petrol by 35 paise, taking the cumulative increase to Rs 8.88 a litre and Rs 7.97 respectively in a fortnight.

4.Petrol prices increased by Rs 8.88

and diesel by Rs 7.97 over fortnight

According to a price notification of state oil marketing companies, petrol in Delhi will now cost Rs 79.23 per litre and diesel rates Rs 78.27 per litre

5.Petrol price in Delhi reaches Rs  79.23 per litre, diesel costs Rs.78.27 per litre

Petrol and diesel prices had touched a record high in 2018. Diesel rate had touched a peak of Rs 75.69 per litre in Delhi on October 16, 2018, and petrol price had mounted to Rs 84 a litre in Delhi on October 4, 2018.

6. Petrol and diesel prices had touched a record high in 2018

The daily increase in fuel rates started on June 7 as oil companies resumed daily revision in prices in line with costs after ending an 82-day gap. It has taken diesel prices to fresh highs and petrol price too is at a two-year high.

7. The daily increase started on June 7 and has taken petroleum prices to a two year high

The 82-day freeze in rates this year was imposed in mid-March soon after the government raised excise duty on petrol and diesel to shore up additional finances.

8 Government raised the excise duty on petrol and diesel in mid-March

The government had on March 14 increased excise duty on petrol and diesel by Rs 3 per litre each and then again on May 5 by a record Rs 10 per litre in case of petrol and Rs 13 on diesel. They gave the government Rs 2 lakh crore in additional tax revenues.

9. The increased excise duty has given additional tax revenues of Rs 2 lakh crore to government

Indian Oil Corp (IOC), Bharat Petroleum Corp Ltd (BPCL) and Hindustan Petroleum Corp Ltd (HPCL) instead of passing on the excise duty hikes to customers, adjusted them against the fall in the retail rates that was warranted because of a decline in international oil prices to two-decade lows.

10 The international oil prices have declined to two-decade low

International oil prices have since rebounded and oil firms are now adjusting retail rates in line with them.

11. Instead of low prices in international market, government has been raising the petroleum prices

Rates have been increased across the country and vary from state to state depending on the incidence of local sales tax or value-added tax (VAT). Taxes make up for nearly two-thirds of the retail selling price. As much as Rs 50.69 per litre or 64% in petrol price is due to taxes—Rs 32.98 is the central excise duty and Rs 17.71 is local sales tax or VAT.

12. Taxes make two-thirds of the retail petrol and diesel prices

Congress president Sonia Gandhi had written to the Prime Minister demanding roll back in petroleum prices

13. Sonia Gandhi had written to the the Prime Minister demanding rollback

The pandemic has left millions of people in financial distress and the petroleum price hike has added to their financial burden.

14. Petroleum price hike is adding to the financial burden of people in crisis