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Correspondent

21 August 2024 at 10:20:16 am

Fuel Shock

The latest increase in petrol and diesel prices — the fourth hike in just 11 days — underlines how vulnerable India remains to geopolitical turmoil and its own unfinished reforms in the energy sector. Brent crude surged again after fresh American military strikes in southern Iran deepened fears of the renewal of the Iran conflict on a higher scale. Markets are now gripped by uncertainty as hopes of a negotiated settlement continue to fade. For a country like India, which imports more than 80...

Fuel Shock

The latest increase in petrol and diesel prices — the fourth hike in just 11 days — underlines how vulnerable India remains to geopolitical turmoil and its own unfinished reforms in the energy sector. Brent crude surged again after fresh American military strikes in southern Iran deepened fears of the renewal of the Iran conflict on a higher scale. Markets are now gripped by uncertainty as hopes of a negotiated settlement continue to fade. For a country like India, which imports more than 80 percent of its crude oil requirements, every geopolitical tremor in the Gulf quickly translates into pain at the fuel pump. Since May 15, petrol and diesel prices have risen cumulatively by nearly Rs. 7.5 per litre. In Hyderabad and Thiruvananthapuram, petrol has crossed Rs. 115 a litre. Mumbai, Kolkata, Bengaluru and Chennai are all witnessing sharp increases. Even Delhi, traditionally cushioned by relatively lower taxes, has seen petrol move beyond Rs. 102 per litre. This marks a significant shift after nearly four years of relative stability in retail fuel prices. For long periods, state-run oil marketing companies absorbed the burden of elevated crude prices, shrinking refining margins and a weakening rupee. Political considerations, particularly around elections, often delayed price revisions. The Rs. 2 per litre reduction announced ahead of the 2024 national elections was a reminder that fuel pricing in India has never been entirely divorced from politics. But oil companies cannot indefinitely absorb mounting losses, especially when global crude prices remain elevated. The Centre has already cut excise duties, with Finance Minister Nirmala Sitharaman estimating the revenue sacrifice at nearly Rs. 1 lakh crore. That fiscal cushion has now largely been exhausted. The spotlight is therefore shifting towards states. VAT on fuel remains one of the most lucrative revenue streams for state governments, with some states imposing levies exceeding 30 percent through taxes and cess components. This explains why states such as Telangana, Kerala and West Bengal continue to record some of the highest retail fuel prices in the country. The Centre is now subtly nudging states to reduce VAT rates to soften the blow on consumers. Yet states are reluctant. Their dependence on fuel taxes is structural, not incidental. Apart from excise on liquor, few revenue sources offer such steady and politically manageable returns. Bringing petrol and diesel under the GST framework continues to face bipartisan resistance from states fearful of losing fiscal autonomy. Rising fuel prices do not remain confined to petrol stations. They seep into every layer of the economy as transportation costs rise, food inflation accelerates and household budgets shrink. Small businesses, already coping with weak consumption and high borrowing costs, are facing renewed pressure. India’s recurring vulnerability to crude oil shocks exposes the limits of its energy security architecture. Expansion of strategic petroleum reserves and greater investment in renewable energy can no longer remain aspirational talking points. They must become urgent national priorities.

Scholars: Don’t poke Aurangzeb’s spirit now

Updated: Mar 20, 2025

Chhatrapati Sambhajinagar

Mumbai: Days after his 318th death anniversary, the ghost of the Mughal Emperor Aurangzeb has suddenly come to haunt Maharashtra politics with hideous cries to uproot his remains from the final resting place in Chhatrapati Sambhajinagar (ex-Aurangabad).


The state has witnessed many spirited protests and agitations by right-wingers, besides clashes in Nagpur, seeking to raze the nondescript and unmarked grave of Aurangzeb.


It is a stark contrast to his mother Mumtaz Mahal’s magnificent and famous Taj Mahal in Agra – a legacy of his father Emperor Shah Jahan to the world.

Several intellectuals from different communities are pained over the clamour to erase Aurangzeb’s grave in Khuldabad, where he died at the age of 88 (Nov. 3, 1618-March 3, 1707), and caution that it may bode ill in the coming times.


Personalities like intellectual Dr. Ram Puniyani, academic and Mumbai’s N.M. College retired Principal Dr. Urmila Rai, Marathi satirist Saby Pereira, corporate legal eagle Faranaaz Karbhari or Muslim academic Maulana M. Burhanuddin Qasmi have frowned at the goings-on which they are observing closely, in their interactions with The Perfect Voice.


They almost unanimously feel the government should not be seen ‘bowing down’ before lumpen elements from extremist groups for earning short-term political brownies fraught with long-term perils.


Dr. Ram Puniyani:

“Razing a historical monument or other such structures will not erase history. We must understand that whatever Aurangzeb did was more as an Emperor/Alamgir I.

The palace politics of that era was evil and brutal,” said Dr. Puniyani, writer-intellectual and an ex-medico with the IIT-Bombay.

He cited multiple instances of royal families in the past indulging in bloody coups, not sparing parents, brothers-sisters, progeny, etc. in their crazed lust for power or political compulsions; most recently the Nepal palace massacre of June 2001 when the entire Royal House of Gorkha dynasty was annihilated in a family feud.


Saby Pereira:

“Let the grave lie as it is. Till now it was ignored and probably should have been that way. Rather than demolish it, I suggest it should be rebuilt and beautifully decorated as a Monument to Marathas Victory over the Mughals,” said Pereira, eminent Marathi humorist.

Justifying his contentions, Pereira said that Aurangzeb, the longest reigning Mughal Emperor and also over the largest territory in the sub-continent and beyond, failed to vanquish the Marathas, and hence the grave should be converted into ‘a symbol and pride of Maratha history’.


Dr. Urmila Rai:

Academician and retired Principal of N.M. College, Vile Parle, Dr. Rai said she is “firmly opposed to causing any harm to the grave, saying destroying a piece of centuries-old history will not benefit the country today even a bit”.

“On the contrary, it will give rise to other poisons, hatred and enmity between communities coexisting peacefully for centuries. Those wanting to raze the Aurangzeb grave must first clarify whether it will solve modern day problems like inflation, unemployment, atrocities on women, etc,” Dr. Rai asserted.


Adv. Faranaaz Karbhari:

Corporate legal advisor Karbhari opined that whether to bury Aurangzeb’s grave or not would depend on how the modern society chooses to engage with its history.


She said that though it is valid to critique his reign and the damage it may have caused, destruction of his grave may not be the best solution today.

“Preservation, paired with education about his reign and its impact, offers a path that acknowledges historical complexity while promoting an inclusive, reflective approach to India’s past,” averred Adv. Karbhari.


Maulana M. Burhanuddin Qasmi:

Director of Markazul Maarif Education and Research Centre, Maulana Qasmi instantly red-flagged the very idea of tearing down any structure of historical relevance for political purposes, particularly since it can’t help resolve any modern issues.


“Sit, talk and sort out things. The Khuldabad grave is a part of India’s rich and vibrant history which must be preserved. Tomorrow, other demands may crop up like bulldozing the Taj Mahal or even the Haji Ali Dargah in Mumbai. There will be no end to the dark tunnel once you enter it,” said a grim Maulana Qasmi.


“There is no need to ‘punish’ those people now for their purported black or bloody deeds/crimes committed centuries or millennia ago, it will neither serve any purpose nor wipe out the history linked with it,” concluded

Dr. Puniyani.

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