Pay Full Market Price Of Diesel, Jairam Tells SUV Owners

The government earns tax revenue from diesel sales, but does not allow its retail price to rise to the prevailing international level to help farmers that use it to irrigate their fields, and to prevent a sharp rise in transportation costs which can have a cascading effect on the price of most goods and commodities.

In the process, owners of luxury cars fill up their luxury cars with relatively cheap fuel. The Kirit Parikh Commission on petroleum pricing sought to address this problem by recommending an additional levy on diesel cars. Read the full report here.

Source: The Economic Times, New Delhi.