CONSUMER FORCED TO COUGH MONEY ON PETROLEUM - COURTESY GOVT.

It is true, that consumers are forced to cough unreasonable money for Petroleum products, courtesy government. It has become very common every now and then, that the prices of Petrol, Diesel and LPG are hiked, in the name of fluctuating rates of crude oil in the international market. It is true that crude rates are fluctuating. But it is not correct to say that out of this fluctuation only Government is forced to increase prices of petroleum products. 

 The move of the government is very calculated. They try to create an atmosphere in the media that because of rise in international crude price, they are scumming under the burden of subsidy. And increase in the prices in inevitable. Which is not true. In fact, they are making the consumers to cough out, whatever subsidy they pay on these products by imposing huge tax at different stages. This is all gimmicky. At one hand government poses that they are taking care of the consumers and bearing the heavy burden of subsidy, they advertise it in media and through so called expert. They create an atmosphere, shows concern. At the other hand they take back entire money of subsidy, even more by way of heavy taxation from the consumers. In absence of pricing policy credentials of the government are doubtful. If they are really concerned for the consumers. They should immediately make and publish fair and transparent pricing policy for the petroleum products. 

 Several times Grahak Panchayat requested the government to absorb international hike in crude price by reducing heavy tax they have imposed on consumers. But since it is going to spoil their game of posing as pro consumer government. If the government is heavily burdened of the subsidy. Instead of authorizing the Oil Companies to decide prices of the petroleum products. Why they are not bringing transparency in the system. Why they are not declaring pricing policy.Why they are keeping it secret. 

 We have some data to show how petroleum prices works - 

Crude price in international market few days back US$ 93.75 per barrel 

 It comes to Rs. 5128.12 (93.75 X 54.70 rupees exchange rate) 

 1 barrel = 158.76 liter 

 Crude oil price per liter comes Rs.32.30 

 Refining cost per liter. Rs. 0.52 

 Capital cost to refinery Rs. 6.00 

 Cost of Transportation Rs. 6.00 

 Dealers Commission Rs. 1.05 

 Total Price of petrol/ liter comes Rs. 45.87 

Huge amount of tax levied by the government forces consumer to purchase petrol at Rs.63.09 in Delhi to Rs.71.22 in Nagpur. 

These taxes are levied by government in the name of Custom Duty, Excise Duty, Special Excise Duty, Education Cess, Sales Tax, State Cess and Octrai. 

 Elections of loksabha are due in 2014. Consumers of the country ask the political parties to clear their stand on the issue.