LPG relief, diesel burden: will the balancing act work?
The government's carrot and stick - it allows oil companies to hike diesel prices in small amounts, and increases the number of subsidised LPG cylinders from 6 to 9 per household. The decision on diesel may help the government reduce its budget-busting subsidy bill while raising the cap on subsidised LPG cylinders may result in a Rs. 5,000 crore hit to the national exchequer. Will the UPA' s balancing act work? We debate.
