-The Economic Times Repressed, unrevised retail prices by fiat have led to rising diesel consumption nationwide, thoroughly misallocating resources and recklessly fretting away scarce budgetary funds in the bargain. The government needs to promptly decontrol diesel prices and put paid to open-ended oil consumption Subsidies, as it has rightly proposed to in the Union Budget.  Further dither and non-decision would wreak havoc in government finances and hook the fiscal deficit figure over...

As the government aims to cut Subsidies to less than two per cent of the gross domestic product (GDP) in 2012-13 and 1.75 per cent over the next three years, several analysts believe the subsidy amount on the proposed food security law may not allow it to come into effect or be contained. Planning Commission member Abhijit Sen tells Dilasha Seth various subsidy figures on food security quoted by the...

It would be great if the enthusiasm on the financial inclusion agenda gets a pause from the frantic do-gooders . Too many people appear to be enthusiastic about serving the poor - and the kindness is killing. Back in 1956, we discovered that cooperatives were a great instrument to reach out to the poor. These were peoples' institutions, local and would be responsive to the problems of their members. A set of...

-The Telegraph Bengal has rejected a central proposal for direct Subsidies to kerosene consumers, fearing the users could spend the funds on other items and prompt Delhi to allot Bengal less of the fuel. “This system is not going to help the consumers. We cannot accept it,” state food and civil supplies minister Jyotipriya Mullick said. Under the scheme, bank accounts would be opened for the consumers buying kerosene through the PDS. The...

The fertiliser ministry is mooting a proposal to raise urea prices by 10%. With this proposed revision, which will have to be endorsed by the Cabinet Committee on Economic Affairs, urea prices will go up from Rs 5,310 per tonne to Rs 5,841 per tonne.  This will help the government to reduce its annual subsidy burden by around Rs 2,000 crore. At present , the annual urea subsidy bill is in...