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Regular-article-logo Saturday, 02 August 2025

HARD ROLLBACK CHOICE FOR ATAL 

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FROM OUR SPECIAL CORRESPONDENT Published 15.03.02, 12:00 AM
New Delhi, March 15 :    New Delhi, March 15:  Prime Minister Atal Bihari Vajpayee today held a review meeting on plans for a possible rollback in the recent increase in cooking gas and kerosene prices following a hike in global crude prices. Giving in to pressure from allies, Vajpayee had earlier assured that he would have a re-think on the issue. However, a $3-a-barrel hike in prices - which translates to Rs 20 a cylinder in the price of cooking gas and Rs 1.35 a litre for kerosene - left him with very little choice. There had been talks earlier of rolling back the Rs 40-a-cylinder price increase effected during this year's budget by as much as half. But with the recent increase in prices, the quantum of price rollback has to be far lower. The government will, however, have to stick to its decision of raising kerosene prices by as much as Rs 1.50 as kerosene prices are anyway going up as a result of the global crude price hike. Finance minister Yashwant Sinha and petroleum minister Ram Naik made presentations at the meeting on the impact of the price hike. While the increase translates into a higher subsidy spend for the government, it also means more tax revenue by way of increased customs and excise collections, they said. Naik, who held a separate meeting with Sinha later, refused to comment on the issue.    
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