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Congress slams Centre over fuel price hike

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The Congress on Saturday hit out at the PM Narendra Modi-led government over the latest rise in fuel prices, turning the issue into a broader charge of “systemic burdening of citizens through taxation and policy failures”.The party alleged that the Centre had repeatedly failed to pass on the benefits of falling global crude oil prices to consumers while continuing to rely heavily on fuel taxes as a key revenue source.Congress chief Mallikarjun Kharge, in a post on X, said the latest petrol price crossing the Rs 100 mark reflected “common citizen’s income being drained in instalments,” adding that ordinary households were being forced to bear the consequences of global volatility and domestic policy choices.Kharge accused the government of collecting nearly Rs 1,000 crore per day through central taxes on petrol and diesel, alleging that this revenue model had remained unchanged even when global crude prices fell in earlier years. He argued that citizens were denied relief during periods of low oil prices, but were being exposed to steep price increases whenever international markets turned volatile.Reiterating its broader criticism, the Congress said that during 2020–21, when global crude oil prices had declined sharply, excise duties remained high, keeping retail fuel prices elevated. The party pointed out that at the peak in October 2021, taxes accounted for nearly 54% of petrol prices and 49% of diesel prices in Delhi, reflecting what it called an excessive dependence on fuel taxation.The party also highlighted that even after India began importing discounted crude oil from Russia in 2022, following the Russia-Ukraine conflict, consumers did not receive meaningful relief at the fuel station.The party stressed that inflation had remained persistently high throughout this period, with fuel costs directly contributing to rising prices of essential commodities. It also cited earlier warnings by senior leader Jairam Ramesh, who had criticised LPG cylinder price hikes during periods of declining global crude oil prices.The Congress also raised concerns over India’s growing dependence on imported energy. It claimed that crude oil import dependence had risen from 80.6% in 2015–16 to nearly 89.44% in FY 2024–25, saying that this contradicts the government’s claims of “Aatmanirbhar” in the energy sector. The party further pointed to rising imports of natural gas and LPG, as well as continued reliance on imported fertiliser inputs such as DAP and Muriate of Potash (MOP), warning that this exposes the economy to global price shocks.The Congress also questioned the government’s transparency on energy security, referring to PM Modi’s March-2026 parliamentary remarks on diversification of energy sources and increased refining capacity. It cited claims that an RTI response indicating only 10 days of strategic oil reserves contradicted official statements, alleging that the true extent of India’s vulnerability was not disclosed to the public.The Congress further alleged that geopolitical pressures, including calls to reduce imports from Russia, may have influenced India’s energy policy and contributed to rising fuel costs.

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