March 29, 2012

I want to expose centre on petrol prices: Parrikar:

Goan Chief Minister Manohar Parrikar caught the attention of Indians across the country by reducing taxation on petrol in the state and feels that his model for keeping petrol prices low can be replicated across the country.

“I want to expose the Central Government on the petrol prices. It’s an artificial hike created by the Central Government. The Centre is simply looting the people,’” Parrikar , an IIT engineer-turned-politician told Firstpost in a telephonic interview.

The Chief Minister has said he will take action against illegal mining in the state. PTI
Parrikar, who has virtually abolished state taxes levied on petrol, said, “Just examine the international market of petrol for the past two years. There is a fluctuation in prices, but on average the petrol price has remained around $100 a barrel at any point of time. This means that the petrol price should be around Rs 40 or 45 a litre.’’

Parrikar alleges that the Central Government is the culprit.

“It is charging additional Rs 16-17 a litre of petrol in the name of excise and custom duty,” he said.

Parrikar feels that massive cut in petrol prices will curb the inflationary pressure on tourism sector in his state.

“I have factored additional revenue in the budget and thus I am meeting my revenue target despite slashing the petrol prices. In Goa, 72 percent of the office goers and businessmen use two-wheelers. All of them will benefit. Prices of essential commodities will also come down. And I expect reasonable boost in tourism sector with slashing of the petrol prices,’’ Parrikar said.

Petrol in Goa, once the tax cuts are implemented, will be cheaper than all the metropolitan cities of the country.

And not just petrol, Parrikar also cut taxes on Aviation Turbine Fuel from 20 per cent to 12 per cent. A move that is expected to directly directly benefit tourists who fly to Goa.

Parrikar’s move to slash fuel prices in the state had caught the eye of Finance Minister Pranab Mukherjee as well who said it was a model other states could replicate but it could mean they would demand financial support from the Centre.

After getting done with delivering the state’s budget, Parrikar said is set to cleanse the Mining department of the Goa government. His campaign against illegal mining is responsible to an extent to bring him and his party BJP back into power in the recently held Assembly elections.

“Mining is not an issue, but illegal mining is an issue. I did not want to open all my fronts. Now when the budget exercise is over, I will take up the process of cleansing the Mining department of Goa,” he said

Asked if he will opt for auctioning the mining rights to the company, he said this is what the Central Government has to decide.

“I will go for the auction, if tomorrow the Central Government decides and directs me to do so,’’ he said.

In Goa, all the mines were leased out to some prominent families by the Portuguese government in pre-independence era. The Goa government is still following the same Portuguese system.

Source:I want to expose centre on petrol prices: Parrikar


Source: www.firstpost.com


February infra output up 6.8% y-o-y:

The eight core industries expanded by 6.8% in February, against 6.4% in the same period last year, on healthy growth in coal, electricity and cement production.

The infrastructure industries had grown by just 0.5% in the previous month.

Electricity, coal and cement output grew by 8%, 17.8% and 10.8% in February respectively, according to the provisional data released today.
In the same month last year, electricity and cement production had grown by 7.2% and 6.5% respectively, coal output contracted by -5.8%.

Crude oil production grew by 0.4% in the month under review against 12.2% in the comparable period of last year. Petroleum refinery products output too grew by 6.2% against a growth of 3.2% in the same month last year.

However, natural gas output contracted by -7.6%. Fertiliser and steel production grew by 4.1% and 4.3% in February as against 4.8% and 18.5% respectively in the same period last year.

During April-February FY12, the growth of core industries slowed down to 4.4% from 5.8% in the same quarter last year.

Source: www.business-standard.com

Brics sign pacts to promote trade in local currencies:

Concerned over uncertain global environment, Brics nations on Thursday signed two agreements to facilitate trade in local currencies and decided to examine the possibility of setting up a Development Bank on the lines of the World Bank to promote funding activities.

The agreements signed at the Brics summit by officials of the five countries--Brazil, Russia, India, China and South Africa -- are aimed at enhancing trade among the members -countries in the coming years.

The Master Agreement on Extending Credit Facility in Local Currency and the Multilateral Letter of Credit Confirmation Facility Agreement are being perceived as a step towards replacing dollar as main unit of trade among them. “The agreements signed today by development banks of Brics countries will boost trade by offering credit in our local currency,” Prime Minister Manmohan Singh said in a media statement after the meeting of Brics leaders.

On the proposal of setting up a Brics Development Bank, he said, “We have directed our Finance Ministers to examine the proposal and report back by next summit.” The initiative to set up a Brics Development Bank on the lines of the World Bank would allow the member-countries to pool resources for infrastructure development and could also be used to lend during the difficult global environment.

Expressing concerns over the current global situation and excessive volatility in capital flows and commodity prices, Brics leaders in the joint declaration said: “The immediate is to restore market confidence and get global growth back on track. ”...it is critical for advanced economies to adopt responsible macro-economic and financial policies, avoid creating excessive global liquidity and undertake structural reforms to lift growth that create jobs,“ it added.

Source: www.livemint.com

242 infra projects running behind schedule: Govt:

As many as 242 infrastructure projects in the country are running behind schedule, Parliament was informed today.

"Out of the 561 projects (costing Rs 150 crore and above) which are on the monitor of this ministry, 242 projects are delayed as on January 1, 2012," the Minister of State (Independent Charge) for Statistics and Programme Implementation Srikant Kumar Jena said in a written reply to the Lok Sabha.

The delay is due to time taken in land acquisition, procurement, law and order problems, inadequate infrastructure, delay in mobilisation by contractors, general cost escalation due to delay, increase in prices of cement and steel and exchange rate variations, Jena said.

A monitoring system is in place for central sector projects costing Rs 150 crore or more in 16 infrastructure sectors, he added.

Assam, Maharashtra, Madhya Pradesh and Uttar Pradesh have maximum number of delayed projects at 31, 20, 15 and 16 respectively, the minister added.

Source:www.business-standard.com