FuelPrices – Congress Targets Centre After Petrol and Diesel Price Increase
FuelPrices – The Congress party on Friday strongly criticised the Central government after petrol and diesel prices were increased by Rs 3 per litre. The opposition said the move would add pressure on household expenses, push inflation higher, and weaken the country’s economic growth outlook at a time when global crude oil prices are already rising due to tensions in West Asia.
Congress Raises Concerns Over Inflation Impact
Congress general secretary Jairam Ramesh said the party had repeatedly urged the government to pass on the benefit of lower international crude oil prices to consumers over the past few years. According to him, ordinary citizens did not receive adequate relief when oil prices softened globally.
In a statement shared on social media, Ramesh alleged that the latest increase in fuel prices would have a direct impact on inflation across sectors. He said the rise in international oil prices linked to the ongoing conflict in West Asia had already created economic uncertainty, and the latest revision in domestic fuel rates could further worsen the situation.
He also warned that inflation for the current financial year may approach 6 percent, while economic growth estimates could face downward revisions if fuel costs continue to rise.
Kharge Questions Government’s Economic Management
Congress president Mallikarjun Kharge also attacked the government over the fuel price revision, claiming the country was facing an economic challenge caused by weak leadership and policy failures.
Kharge said rising diesel prices often trigger a broader increase in transportation and logistics costs, which eventually affects food prices, industrial operations, farmers, and household budgets. He argued that the burden of inflation was now being directly transferred to the public through higher petrol, diesel, and LPG prices.
The Congress chief further criticised the government’s handling of international energy issues. Referring to reports related to India’s oil purchases from Russia, he questioned why the country was seeking external approvals and whether adequate planning had been done to protect consumers from global fuel volatility.
Kharge also alleged that despite collecting significant revenue through fuel taxes over the past decade, the government had failed to provide sufficient relief to citizens when international crude prices were lower.
Fuel Prices Increased After Four Years
The Centre on Friday approved the first major increase in petrol and diesel prices in more than four years. State-run oil marketing companies revised rates amid mounting pressure from rising global crude oil prices and increasing operational losses.
The latest price revision came shortly after assembly elections concluded in Assam, Kerala, Tamil Nadu, and West Bengal. Fuel rates had largely remained unchanged during the election period despite continued fluctuations in the global energy market.
Following the revision, petrol prices in Delhi increased from Rs 94.77 to Rs 97.77 per litre. Diesel rates also rose from Rs 87.67 to Rs 90.67 per litre.
Global Oil Prices Continue To Influence Domestic Rates
International crude oil prices have remained volatile in recent months because of geopolitical tensions in West Asia and concerns over energy supply disruptions. Analysts believe that sustained increases in global oil rates could continue to impact domestic fuel prices in India in the coming weeks.
Petrol and diesel prices in India officially operate under a deregulated pricing mechanism, allowing oil companies to adjust rates according to international market conditions. However, fuel price revisions often become politically sensitive because of their direct impact on inflation and consumer spending.
Fuel rates also vary across states because of differences in Value Added Tax (VAT) imposed by state governments.
The last major revision before the current hike took place in March 2024, when petrol and diesel prices were reduced by Rs 2 per litre ahead of the Lok Sabha elections.