Govt under pressure as price hike issue gains momentum

But the Government remained steadfast with Petroleum Minister Ram Naik ruling out a rollback in the prices of LPG and kerosene. "The recent OPEC decision to increase their oil production by 1.45 million barrels per day (excluding increase by Iran) has resulted in some decline in oil prices in the international market which has to be viewed against the backdrop of the OPEC statement to review its decision by June 2000," he said in identical statements read out in the two Houses.

"However, the the large deficits which have already accumulated in the oil pool account will have to be tackled only through price adjustments," he said.

The Government had to face considerable embarrassment later in the day when AIADMK MP P H Pandian, who was in the chair, criticised the ruling coalition for bypassing Parliament while deciding to hike the prices of LPG and kerosene during the recess of the Budget session. He gave the ruling as the Petroleum Minister rose to make a suo motu statement on the issue.

"The House should have been taken into confidence on the hike. The House was not prorogued and the Budget session was still on when the hike was announced," he said amid thumping of desks from the Opposition benches and protests from the Treasury benches.

In the Lower House of Parliament, the matter was raised immediately after the commencement of the day’s proceedings and later during the zero hour. Speaking on the motion for its admission, the Congress president flayed the Vajpayee Government for its "anti-people policies" as demonstrated by its decisions to hike prices.

Speaking during the zero-hour earlier in the day, Sonia Gandhi said all sections of the society were reeling under the impact of the price hikes. "The nation is passing through a difficult phase because of the anti-people policies pursued by the NDA government," she said, adding: "At a time when the Government should extend a helping hand to farmers, it has instead raised the prices of urea by 15 per cent. The situation has forced farmers in even rich states like Punjab to commit suicide."

Demanding a withdrawal of the hikes, CPM’s N N Krishnadas said the entire country was agitated over the recent Government decisions. Supporting his party colleague, V Radhakrishnan wondered what was the urgency in increasing the prices when Parliament was in session. His colleague Roopchand Pal asked the NDA partners to come out openly and force the government to withdraw the increase.

In his ruling, the Speaker said he was disallowing the notices of adjournment motion given by Leader of the Opposition Sonia Gandhi and some other MPs as the matter could be discussed during the debate on the Finance Bill.