Apex court backs government’s decision to charge deregulated diesel prices to bulk oil buyersC

The government’s decision to charge market prices for diesel sold to bulk buyers such as defence, railways and transport corporations has been endorsed by the Supreme Court. The decision had been stayed by some courts after transport corporations challenged it.

The apex court held that the decision by the government was right. As per the court, due to subsidy on oil, declining value of rupee and expanding Current Account Deficit (CAD) country’s economy is suffering. The court conceded to the government’s rationale for increasing prices of petroleum prices in a phased manner over the years.

Month: Current Affairs - September, 2013