Instead of paying the Oil Marketing Companies (OMCs) for the subsidies extended on petrol/diesel & other oil products, the governments used to issue oil bonds as compensation to these companies,
🌺Pls Understand....🌺
Why the Govt can't pass the benefit of drop in International Crude prices to the people??
Read carefully to understand pls.
1) What are oil bonds & who all issued these bonds?
Oil Bonds were issued by successive governments upto 2010.
Instead of paying the Oil Marketing Companies (OMCs) for the subsidies extended on petrol/diesel & other oil products, the governments used to issue oil bonds as compensation to these companies,
These securities are usually long dated securities of 10-20 years.
2) For instance, look at the notification of the Oil Bonds issued during the UPA.
Oil Bonds were issued by all the previous governments till 2010,
3) What is the worth of Oil Bonds pending?
The budget documents available in the public domain reveal the information of pending oil bonds and the amount of interest to be paid on these oil bonds.
‘Special Securities Issued To Oil Marketing Companies In Lieu Of Cash Subsidy’,
the total value of pending oil bonds by the end of 2013-14 was
₹ 1,34,423 crore.
This is when the NDA government took over.
₹ 1,34,423 crore.
The only set of bonds due for maturity during 2014-19 period (the Modi government’s 1st term) were the two sets of bonds which matured in 2015, totalling ₹ 3,500 crore.
4) What about interest on Oil Bonds?
The interest payments of Government of India are captured in a document titled ‘Interest Payments’ in the demand
NDA government paid a total of
₹ 50,216 crores in the 5 year period between 2014-15 and 2018-19. They have also budgeted an interest payment of ₹ 9989.96 crore for 2019-20.
Dharmendra Pradhan, the minister in-charge of Petroleum & Natural Gas confirmed the same, that oil bonds worth ₹ 1.3 lakh crore are still pending.
Then last year, 2020, we had the pandemic which has globally set in recession.
Though there was a steep drop in International Crude prices, the Indian Govt. chose not to pass on the benefits of the reduced prices
It made sense because during the lockdown, the transport and traveling activity had virtually stopped and any reduction in prices won't have given any remarkable benefits.
Now people will realize... why the Govt. is not passing on the benefit of the drop in International Crude prices to the consumers.
Lots of past debts have yet to be cleared😒
🙏: Swadeshi
Still after reading this if you rise your finger to Nirmala Seetharaman ji for the price hike...
First do that with your CM, for why he didn't sit in a discussion for accepting
Study these also completely once...
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