Increase duty on diesel cars up to Rs 2.5 lakh: Jaipal Reddy

June 13, 2012

Jaipal-Reddy

New Delhi, June 13: If the government accepts oil minister S Jaipal Reddy's proposal, the price of small diesel cars could soon rise by Rs 1.7 lakh while medium-to-large guzzlers could become costlier by Rs 2.55 lakh a piece.

The proposal to impose additional excise duty on diesel cars is bound to trigger protests from automakers, who have seen sales growing at the slowest pace in seven months in May. Domestic car sales declined 24% in May compared to the year-ago period due to high fuel prices and interest rates.

The proposal drew a thumbs down from analysts and private players, who described it as an excuse to avoid fuel pricing reforms. "From the RBI to C Rangarajan, head of the PM's Economic Advisory Council, everyone has recommended deregulation of fuel prices. If you can't do that for political reasons, at least fix subsidy on diesel and then let the market determine the pump price. Taxing vehicles would serve hardly any purpose," said an industry analyst requesting anonymity.

But Reddy has his arguments for seeking taxing diesel vehicles that are outpacing petrol car sales. In a June 7 letter to finance minister Pranab Mukherjee, the oil minister gave three key reasons for his proposal aimed at arresting a ballooning fuel subsidy bill.

Reddy pointed out that the proposed additional excise duties are equivalent to the minimum benefit that a diesel car owner derives from the fuel's price differential with petrol — at current prices — over a 10-year assumed life of a vehicle. Petrol in Delhi costs Rs 71.16 a litre against Rs 40.91 for diesel.

Reddy's arithmetic goes like this: he first calculates the total distance a vehicle is expected to clock in its 10-year life span, assuming an annual run of 18,000km. Then, he works out the fuel costs by taking a median mileage of 18km to a litre for small cars and 12km for medium/large vehicles. For good measure, he shaves off 10% of the total cost to level.

According to Reddy's calculation, the additional excise duty amounts to asking the diesel car buyer to pay upfront the price differential with petrol that he or she would enjoy later. A petrol car owner, in contrast, shells out every time at the pump.

Reddy also pointed out the adverse impact of increased diesel car sales on the government's earnings. Petrol attracts an excise duty of Rs 14.78 per litre against Rs 2.06 a litre for diesel. So each time a buyer opts for a diesel car instead of petrol and visits a petrol pump, the government loses Rs 12.72 in excise duty on litre of diesel. Together with the Rs 12.53 a litre subsidy on diesel, the actual price differential with petrol at Delhi works out to Rs 25.75 a litre.

To drive home the enormity of the situation arising out of this increasing dieselization, Reddy says diesel consumption rose by 7.6% in 2011-12 against 6.2% in 2010-11. In contrast, growth in petrol consumption fell from 10.7% in 2010-11 to 5.6% in 2011-12.

The Kirit Parikh Committee on fuel pricing reforms had recommended an additional excise duty of Rs 80,000 in February 2010 when duty difference on petrol and diesel was Rs 9.75 a litre and under-recovery on petrol was more at Rs 3.97 a litre than Rs 2 on diesel.

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News Network
January 6,2020

Hyderabad, Jan 6: AIMIM president Asaduddin Owaisi on Monday expressed solidarity with students of Jawaharlal Nehru University in Delhi, following violence in the campus and said the "cruel attack" was meant to "punish"the students as they "dared to stand up".

"In solidarity with the brave students of JNU. This cruel attack is meant to 'punish' JNU students because they dared to stand up. It's so bad that even Union Ministers are tweeting helplessly. Modi Sarkar must answer why cops aresiding with goons," the Hyderabad MP tweeted.

The AIMIM has also tweeted expressing solidarity with the "students of JNU". "AIMIM stands in solidarity with the students of Jawaharlal Nehru University. Who feels threatened by the voice of students?," the party said in a tweet.

Violence broke out at the JNU on Sunday night as masked men armed with sticks and rods attacked students and teachers and damaged property on the campus, prompting the administration to call in police which conducted a flag march.

At least 28 people, including JNU Students' Union president Aishe Ghosh, were injured as chaos reigned on the campus for nearly two hours.

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News Network
April 11,2020

New Delhi, Apr 11: Calling upon chief ministers to popularise Aarogya Setu app, Prime Minister Narendra Modi on Saturday said it will an essential tool in India's fight against coronavirus and referred to the possibility of the app being an "e-pass which could subsequently facilitate travel from one place to other".

Interacting with chief ministers through video conference, the Prime Minister mentioned how South Korea and Singapore had got success in contact tracing and said India has made its own effort through the app amid efforts to contain the spread of coronavirus.

A PMO release said that the Prime Minister spoke about popularizing the Aarogya Setu app to ensure downloads in greater numbers.

"He referred to how South Korea and Singapore got success in contact tracing. Based on those experiences, India has made its own effort through the app which will be an essential tool in India's fight against the pandemic, he said. He also referred to the possibility of the app being an e-pass which could subsequently facilitate travel from one place to another," the release said.

The Prime Minister had earlier this week urged people to download the app saying it is an important step in the fight against COVID-19 and its effectiveness will increase as more people use it.

"Aarogya Setu is an important step in our fight against COVID-19. By leveraging technology, it provides important information. As more and more people use it, it's effectiveness will increase. I urge you all to download it," he had said in a tweet.

The app launched earlier this month in public-private partnership enables people to themselves assess the risk for their catching the coronavirus infection.

The app makes its calculations based on a person's interaction with others, using Bluetooth technology, algorithms and artificial intelligence.

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Agencies
June 21,2020

New Delhi, June 21: The world is feeling the need for yoga more than ever due to the coronavirus pandemic and the ancient Indian practice is helping a large number of Covid-19 patients across the globe in defeating the disease, Prime Minister Narendra Modi said on Sunday.

The coronavirus specifically attacks the respiratory system and 'pranayama' or breathing exercise helps in strengthening the respiratory system the most, Modi said in his message on the sixth International Day of Yoga.

Modi said yoga has emerged as a force for unity and it does not discriminate as it goes beyond race, colour, gender, faith and nations.

"Yoga enhances our quest for a healthier planet. It has emerged as a force for unity and deepens the bonds of humanity. It does not discriminate. It goes beyond race, colour, gender, faith and nations. Anybody can embrace Yog," the prime minister said.

In his nearly 15-minute address early Sunday morning, Modi said that due to the coronavirus pandemic, the world is feeling the need for yoga more than ever.

"If our immunity is strong, it is of great help in defeating this disease. For boosting immunity, there are several methods in yoga, various 'asanas' are there. These asanas are such that they increase the strength of the body and also strengthen our metabolism," he said.

Talking about the benefits of 'pranayama' -- a form of breathing exercise, Modi said it is very effective and has countless variations like 'Sheetali, Kapalbhati and Bhrastika'.

"All these forms of yoga, help a lot in strengthening both our respiratory and immune system," he said, urging people to include 'pranayama' in their daily routine.

"A large number of Covid-19 patients all over the world are taking the benefits of all these techniques of yoga. The strength of yoga is helping them defeat this disease," Modi said.

Asserting that anybody can embrace yoga, the prime minister said that all that is needed is some part of one's time and an empty space.

"Yoga is giving us not only the physical strength, but also mental balance and emotional stability to confidently negotiate the challenges before us," Modi said.

"If we can fine-tune our chords of health and hope, the day is not far away when world will witness the success of a healthy and happy humanity. Yoga can definitely help us make this happen," he said.

With the shadow of the COVID-19 pandemic looming large, International Day of Yoga is being marked on digital media platforms sans mass gatherings. This year's theme is 'Yoga at Home and Yoga with Family'.

Yoga Day is going digital for the first time since June 21, 2015, when it began to be celebrated annually across the world, coinciding with the Summer Solstice each year.

On December 11, 2014, the United Nations General Assembly declared June 21 as 'International Day of Yoga', months after Prime Minister Modi had proposed the idea.

The Ministry of Ayurveda, Yoga & Naturopathy, Unani, Siddha and Homoeopathy (AYUSH) had planned to hold a grand event in Leh, but cancelled it due to the pandemic.

In his message on Sunday, Modi said the International Yoga Day is a day of unity and gives the message of universal brotherhood.

"It is a day of oneness and humanness. What brings us together, unites us, that is yoga. What bridges distances is yoga. In times of this coronavirus pandemic, people's participation in the 'My Life - My Yoga' across the world shows that people's interest in yoga is increasing," he said.

He said that doing work properly and fulfilling one's duties is also a form of yoga.

"Eating the right food, playing the right sports, having right habits of sleeping and waking, and doing your work and your duties is yoga," Modi said.

"With this 'karmayoga', we get the solution to all the problems. 'Karmayoga' is also helping others selflessly. This spirit of 'karmayoga' is embedded in the spirit of India. Whenever the need arose, the whole world witnessed India's selflessness," he said.

The power as an individual, society and country increases manifold when people act according to yoga and with the spirit of 'karmayoga', Modi said.

"Today we have to take a pledge in this spirit -- we will do everything possible for our health, for the health of our loved ones. As a conscious citizen, we will move forward unitedly as a family and society," he said.

The PM's message was followed by a live demonstration of Common Yoga Protocol (CYP). The CYP drill was designed keeping in mind people of different age groups and of varied walks of life, the ministry had said in its statement.

Yoga programmes are organised across the globe by Indian missions every year, but this year will be different. Several missions are organising digital events to mark the occasion.

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