The day when the petrol mark crossed Rs.100, Narendra Modi stated that the middle-class wouldn’t have been burdened if the governments earlier had paid much attention to reducing India’s dependence on energy import. Having India’s petrol price at Rs.100, the prime minister blames it on the previous government.
With no reference to the inexorable hike in retail petrol prices, which has a link to the international rates, Narendra Modi said that in the financial year of 2019-2020, India had imported over 85% of its oil needs and 53% gas requirement.
Addressing an online event which was to initiate oil and gas projects poll-bound Tamil Nadu, he said: “Can a diverse and talented nation like ours be so energy dependent?” he also further stated: “I do not want to criticize anyone but I want to say that we had focused on this subjects much earlier, our middle-class would not be burdened.”
After a consistent hike in the fuel prices for the ninth day in a row, the petrol prices crossed the Rs.100 per liter mark. As India imports the majority of oil needs, the retails rates are benchmarked to international rates, which in recent weeks has ascended.
What is the opposition saying?
The petrol price at Rs.100 in India is facing criticism regarding the price hikes from opposition parties and Congress as well, blaming this on Narendra Modi to be raising taxes to scoop out the benefit which rose from international oil prices plummeting to a low of two-decade in April/May 2020. While the pickup is in demand and the global rates have rebounded, the government still hasn’t restored the taxes which are at a higher record.
The retail selling price of petrol according to central and state taxes makes up for 60% and 54% for diesel.
PM Modi further stated that it was a duty to work towards clean and green sources of energy and this duty should’ve been done collectively, and also work on energy dependence.
Referring to the Hindu. “Our government is sensitive to the concerns of the middle class. That is why India is now increasing the focus on ethanol to help farmers and consumers,” Narendra Modi said.
Now the ethanol which is being extracted from sugarcane is being incapacitated in petrol, which reduces the requirement of imports. In today’s situation, ethanol in petrol is 8.5% and the proportion is aimed to be raising upto 20% by 2025, which will help cut imports and also give an alternate source of income for the farmers.
PM Modi further stated that India is looking to cut down on energy import dependence and diversify its source in order to reduce the risk.
What is the focus right now?
Among other focuses, the current one is towards using renewable sources of energy, which will generate 40% energy in the country by 2030, PM Modi stated, while listing other measures such as an increase in the sharing of solar power, focus on public transport, using LED bulbs, use of solar pumps for irrigation and scrappage policy for vehicles.
Narendra Modi said: “Today, India is increasing the share of energy from renewable resources. By 2030, 40% of all energy will be generated from green energy sources,” referring to The Hindu.
He also stated that India is on the look to reduce energy import dependence through capacity building. “In 2019-2020, India was fourth in the world in oil refining capacity. About 65.2 million tons of petroleum products have been exported. This number is expected to rise even further.”
Firms from India have gone further overseas in order to purchase oil and gas assets, which will provide security in areas of energy.