How will the market change if Petrol and Diesel prices sky-rocket

tj123 · 2nd June 2011, 10:30

My view is decontrol diesel and petrol completely , and moderate the subsidy given kerosene and LPG.
The government subsidy burden will go down which will give them some elbow room to reduce the taxes on fuels. Currently the subsidy monster is not allowing the government to reduce the taxes on fuels, hence they are caught up in this vicious subsidy and tax cycle.

The way diesel consumption is growing, very soon the government will be forced to decontrol diesel it’s just a matter of time.

2nd June 2011, 10:30	#91
tj123 Senior - BHPian Join Date: Aug 2007 Location: BLR Posts: 1,148 Thanked: 680 Times	Re: How will the market change if Petrol and Diesel prices sky-rocket My view is decontrol diesel and petrol completely , and moderate the subsidy given kerosene and LPG. The government subsidy burden will go down which will give them some elbow room to reduce the taxes on fuels. Currently the subsidy monster is not allowing the government to reduce the taxes on fuels, hence they are caught up in this vicious subsidy and tax cycle. The way diesel consumption is growing, very soon the government will be forced to decontrol diesel it’s just a matter of time.
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