Displaying posts tagged with: rise in fuel price

What’s your reaction to the fuel price rise?

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The risk of strikes and social unrest has become a reality in India as fuel becomes unaffordable for the common man. The powers that be have failed in their battle to control rising oil prices, risking community objection, elevated taxes and inflation.

The Indian government has been under pressure to raise the price of fuel for months now. India, which imports 70 percent of its oil, increased prices for gasoline, diesel and cooking gas yesterday. But with the government facing elections in a number of states this year, it is a politically detested move they cannot afford.

With prices more than doubling in the past year, the blow is being felt acutely by consumers and businesses alike. In short, there is too much oil money chasing too few goods and services and it is the aam admi who first feels the squeeze from higher fuel prices.

What do you think of the government’s decision to increase the price of gas? Will it encourage people to conserve energy? 

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