New Delhi, November 7
Apparently not to spoil the festive mood ahead of Diwali, the Congress-led UPA government has put off till at least next week a decision on raising fuel prices, despite global crude price nearing $100 a barrel.
“We are trying to see if we can find a solution next week,” petroleum minister Murli Deora told newspersons here today.
The government, which has been postponing a decision on raising the retail price of petrol and diesel under pressure from its allies, is now left with only two options — either to raise the retail price or go for an appropriate duty reduction — to deal with the situation.
In fact, the petroleum ministry has already made a suggestion on this line to the finance ministry, which has not reverted back.
“We would desire a cut in duty at this point of time, as the government and RBI’s target at present is to keep the inflation under control,” a top petroleum ministry official on the condition of anonymity told The Tribune here.
He claimed that more than the political pressure, the intention of the government to defer the hike in retail price of fuel is in consonance with the macro-economic target.
Meanwhile, sources said the UPA chairperson Sonia Gandhi and Prime Minister Manmohan Singh are closely monitoring the situation triggered by the surge in global crude price and a “considered decision” in consultation with the allies, especially the Left parties will be taken after Diwali.
