Congress unease over plan to raise diesel price, EGoM to consider hike on May 11
The Congress reaction came after RBI governor D Subbarao called for an immediate hike in petrol and diesel prices.
The Congress reaction came after RBI governor D Subbarao called for an immediate hike in petrol and diesel prices, even if it adds to inflationary pressure and moderates economic growth.
The party, however, indicated that it has no major issue with petrol prices as Natarajan insisted that petrol prices have already been de-linked after the introduction of Administered Price Mechanism. "We would definitely feel that lives of common man are not affected...particularly on prices of diesel," she said. This response clearly shows that it will not be easy for the government to hike the price of diesel. The Empowered Group of Ministers' ( EGoM) is slated to meet on May 11 - a day after the completion of the polling process in five states - to consider a hike in fuel prices.
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