Strange are the ways of the world. From the time the Finance budget 2002-2003
was announced, the prices of crude oil have gone up from 20$ to around 26$.
Ideally, the prices of petrol should have also gone up. More so because on
April 1, the Administered Price Mechanism (APM), a tool to artificially control
petroleum prices, was dismantled. But that has not been the case. What has
in fact happened is that reduction on subsidy on LPG has been rolled back
by twenty rupees. And public sector companies have been prohibited to increase
the prices till further notice. So while the public sector oil companies make
loss for every litre of petrol sold, the precariously placed BJP seeks brownie
points from the populace for maintaining oil prices. And if the farce was
not enough, our honourable Petroleum minister wishes to control the prices
of petrol further by manipulating excise duties.
The farce enacted by APM dismantling is only one part of the story. Around
a week back, the prices of CNG were increased by a staggering 30%. CNG has
been well accepted as a fuel to be many times less polluting than diesel.
So, environmentally, it would have been advisable to put a 'Pollution tax'
on the more polluting diesel. However, what we have now is that the environment-friendly
CNG has been slapped a very harsh hike. But the media seems to have struck
with amnesia, as this hike seems to be of no concern to anyone.
The CNG buses are already known to be almost twice as costly as a diesel
bus. The price advantage of CNG over diesel evoked interest among masses to
opt for the former, environment considerations never coming into the picture.
But after the price hike, the price difference has gone for a toss. So what
we have is 1) a CNG bus that costs twice as much, 2) a fuel that costs almost
as much, and 3) a dispensing station that takes anything between two to twelve
hours, something that can make any bus conductor go insane; more so when diesel
buses whisk away with diesel in their belly in a jiffy. The saddest part
of the story is that there was no uproar in the parliament for CNG price hike,
no demand for adjournment motions, and no agitation from the people.
The immediate fallout is that the fare of buses will increase. In our company
too, the monthly fee is slated to be doubled. Already, there are increasing
talks of people skipping buses, and opting for personal vehicles. This possibly
explains why Delhi has 35 lakh vehicles, which is equal to the number of vehicles
of other three metropolis put together. Apart from price, the buses are stuffy,
not air-conditioned, and do not offer the flexibility of choosing your office
timings. The end result will be more cars and scooters on the roads, more
congestion, more pollution, and more damage to public health.
Across the world, countries are realizing that unless economics goes along
with environment, no one gives a damn to trees and fresh air. So they employ
the principle of "polluter pays". For example, if the use of polythene bags
is to be dissuaded, then instead of banning it, which is almost impossible
to implement, especially in a large country like ours, a pollution tax is
imposed. As soon as use of polythene will come economically unviable, people
will automatically seek alternatives. In the case of CNG too, it was expected
to mix environment with economics. But alas, that is not to be. CNG has become
a political football in which politicians play with people's health.
Also read http://www.cseindia.org/html/cmp/air/press_20020429.htm
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Among some good news, the Supreme court of India this week held that the
people had a right to know about the antecedents of politicians standing for
election to public offices. After a landmark judgement, politicians have to
now file details of their criminal record, which includes whether they were
ever convicted or not, and whether any chargesheet was pending against them
in courts or not. Apart from this, they also have to file details about the
wealth that they possess, including the wealth of their spouses/dependants.
This verdict was being strongly opposed by the politicians, for obvious reasons.
But ultimately, a good decision was given, and people can now expect cleaner
government.
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A friend of mine was recently given in a ticket in US for over-speeding.
He had to appear in court to explain his point of view. The judge had to penalize
him by giving him points. While there was a possibility of my friend getting
four points, my friend beseeched for two points. The points would directly
affect the insurance charge that the friend had to pay. Ultimately, two penalty
points were awarded, and my friend marched back happy indeed, ensuring that
the rise in insurance was under control. While we have our own no-claim bonus,
I just wish something equally sophisticated finds its way in India.