New Delhi: The Opposition on Tuesday sharply attacked the Centre over the continued rise in fuel prices after another hike in CNG rates across Delhi-NCR, while Union Finance Minister Nirmala Sitharaman defended the increases, citing global energy pressures triggered by the ongoing Iran conflict.
The political sparring intensified after CNG prices in Delhi-NCR were raised by Rs 2 per kg on Tuesday, marking the fourth increase in just two weeks. Following the latest revision, CNG now costs Rs 83.09 per kg in Delhi, while prices in Noida and Ghaziabad have climbed to Rs 91.70 per kg.
This is the fourth CNG price hike since May 15. The government had earlier increased prices by Rs 2 on May 15, followed by hikes of Rs 1 each on May 18 and May 23, as state-run oil companies began passing on the impact of rising global energy costs linked to tensions in the Middle East.
Congress leaders accused the Modi government of burdening ordinary citizens even as oil marketing companies continue to report strong profits.
Congress MP Manish Tewari said, “It is ironic that on one hand the oil marketing companies are making exponential profits… On the other hand, the common man is being absolutely crushed. Petrol today is above Rs 100 in most Indian cities and diesel is touching Rs 90 in most cities. CNG has been increased as well. Why is the government crushing the common man?…”
Targeting the Centre’s economic handling, Tewari added, “The Finance Minister says that Fuel, Fertilizer and Foreign Exchange are in a crisis, which is primarily because the government did not do anything for the past 12 years… The Foreign Direct Investment is fleeing India… this is why there is pressure on the rupee… Now, with whose age is the rupee competing with?…”
Senior Congress leader Jairam Ramesh also attacked the Centre after Sitharaman warned about challenges relating to “fuel, fertilisers and forex”.
In a post on X, Ramesh said the Finance Minister had ignored a “fourth F” – falling private investment.
“The FM has said that the 3Fs, Fuel, Fertilisers, and Forex, are matters of great concern. But she forgets the all-important fourth F: Falling rates of private investment that have been in evidence these past few years,” he wrote.
The Congress leader claimed that net FDI inflows had declined and alleged that Indian businesses were increasingly seeking “more predictable and profitable ventures abroad”. He also accused the Modi government of creating an atmosphere of “threat, intimidation, and intrusiveness” that discouraged investments.
The Congress leader further said weak consumer demand growth was discouraging companies from investing, adding that “recognising what really ails the economy with humility and sobriety and taking remedial actions is entirely another matter.”
Defending the fuel price increase, Sitharaman on Monday said the Centre had shielded consumers from higher fuel costs for nearly 76 days despite global crude volatility.
“From the government’s side, for about 76 days, our objective has been to ensure that no additional burden is placed upon the people. We have provided relief amounting to more than Rs 1 lakh crore annually this year through reductions in excise duty,” the Finance Minister said.
“Had we not granted those reductions at that time, even back then, prices would have risen by Rs 10 per litre right at that very moment… but the price increases currently are coming from the Oil Marketing Companies, as they are ones who are procuring and selling,” she added.
Sitharaman also said India needed to closely monitor the “three Fs” – fuel, fertiliser and forex – amid the Iran war crisis and global market uncertainty. She noted that Prime Minister Narendra Modi’s recent appeal to conserve foreign exchange reserves had become especially important in the current geopolitical situation.
On concerns over the falling rupee, Sitharaman said the government was reviewing various suggestions related to investments and currency stability received from different departments and stakeholders.
