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Rao Dilshad Hussain

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Jolt from the blue

Inflation and resulting price hike will continue to soar in view of Petroleum Levy Ordinance

A wave of joy could be witnessed across the country after Supreme Court’s verdict for cut in petrol prices. The joy, however, was short lived. On prime minister’s recommendation the president issued an ordinance reverting the prices back to July 7 position. The relief to the common man is still a far away dream.

The citizens welcomed the cut in petroleum prices. The confused filling station owners, however, continued to sell petrol at high old prices. The people could not get the relief that the Supreme Court had provided them. Such is the state of our governance. The filling station owners must have had links at high places, as they never accepted the Supreme Court’s decision.

The petroleum prices have again been revamped because of presidential ordinance that came late at night. Petroleum Development Levy Ordinance 2009 will ensure that inflation and price hike will continue to soar.

The situation is alarming and pathetic at the same time. The reversion of prices is likely to create further problems. Now the people will be further frustrated considering that even the Supreme Court decision could not bring relief. The prices of petrol, diesel, kerosene oil, light speed diesel and HOBC were again increased with effect from July 9. The president signed the ordinance after the recommendation of the Prime Minister. It is worth mentioning here that Supreme Court suspended the carbon tax surcharge on petroleum products through its verdict.

Governance cannot be built on force but on trust. The governments in the past never considered the public will. The present government too is not very sensitive to the people’s aspirations. The focus continues to be perks and privileges for the rich parliamentarians. The policies are never clear to the general public. There are different parameters for different sections of society and different for people of various areas. For example the so called load shedding has different parameters for different people. In Islamabad the load shedding is only for two hours in one day while other cities face more than 12 hours load shedding while rural areas have nearly 18 hours load shedding.
The prices of daily common use items, fruits, wheat, rice, pulses and vegetables will now increase further. The transport fares that were recently enhanced will remain high. So after this affirmation of increase in oil prices, it can be said that government has no plan to give relief to the masses. No new policy is being introduced. The government functionaries and ministers continue to go abroad for good will visits while the governance at home suffers.

For the first time in Pakistan’s history diesel’s prices have passed the petrol’s mark. Diesel is not only being used in many sectors of industry and trade but also it’s lion share has been consuming for gaining energy and water to maintain the crops. Due to recent increase in oil prices will definitely damage upcoming crop and farmers and those produce vegetables are not comfortable with this decision.

In fact, there is no doubt about it that Pakistan is facing a multiple number of crises like price hike, load shedding, terrorism, constitutional, political, ethnical, economical, religious and water crises as well since a decade. Government does not believe in people friendly policies. The whole scenario has brought back the politics of agitation. People at times without the support of any political parties are turning up on the main roads in groups to protest against load shedding and price hike. This all does not look well as such things are not only disturbing but are omen for what may come in future if things do not improve.

This issue has activated the opposition political parties, which did not take part in the last general election. They had boycotted the last elections and were now on losing ground politically. The issues of load shedding and price hike have given them new life. They are reorganising themselves for holding agitation and staging protests. They are mobilizing the masses to stand up for their rights. These parties through big demonstrations recently held have succeeded in attracting the general public. The parties like Jamaat Islami and Tehrik-e-Insaf are back in the active politics all due to the problems created by the rulers themselves.

Suo moto taken by the Supreme Court after parties and individuals from civil society filed the petitions in the provincial high courts and the Supreme Court as well. After the hearing of these petitions Supreme Court has suspended the carbon surcharge temporarily and situation has entirely changed. Masses were delighted about this ruling.
The petrol price had come down to Rs.11 per litre following the SC judgment, which ordered government to suspend carbon tax surcharge on petroleum products. Following the SC directions, the OGRA (Oil And Gas Regulatory Authority) had issued notification reducing carbon tax surcharges on petroleum products bringing the petrol lower by 11 rupees per litre.

The issue is of good governance, which is lacking in Pakistan at the moment. When the verdict of Supreme Court had been announced why was the government not able to bring down the price. Good governance was not seen anywhere in the country and filling station owners were charging the same. The provincial government including Punjab’s task forces did nothing about this issue. Task force for price control was established to look into these kinds of matters.

Sunday plus conducted a survey and talked to many shopkeepers and consumers to know the facts about the recent increase in the petrol prices.

“The impact will be directly on daily uses food items. This is a huge blunder done by the government. All the prices of the goods will be increased within a few days,” Baber a shopkeeper selling grocery said.

The survey showed that the people are fed up with the government for failing to provide relief from the high inflation and price hike. 57 percent of the 100 people surveyed said that government had the will but not the resources to provide relief. 94 percent were of the view that USA and the Friends of Pakistan were not doing enough to help the country out of the crisis of load shedding and price hike. “This load shedding crisis is fake. The government does not have the money to pay to the IPPs. The load shedding is just a ploy to disturb people because the government is almost bankrupt,” said Sohail Akhtar an activist.

He pointed out that when Tehrik-e-Insaf and Jamaat Islami were to stage rallies on The Mall in Lahore the night prior to that and on that day there was no load shedding in the city. “It happened when the Mangla Dam electricity production had stopped just a few days earlier. All this crisis talk is sham. The war on terror leaders should realise that Pakistan must be helped in this time of need. Otherwise it would be too late,” the activist was of the view.

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posted by Dilshad Rao @ 11:44 AM,

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