SP targets pvt oil firms; wants PM to take cognizance
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SP targets pvt oil firms; wants PM to take cognizance

Last Updated: Tuesday, July 08, 2008, 00:00
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New Delhi, July 08: Targeting Mukesh Ambani group, the Samajwadi Party has demanded windfall profit tax and withdrawal of concessions to private sector oil firms saying Prime Minister Manmohan Singh should take cognizance of its wish list as seriously as its support for the nuclear deal.

"If I take the Prime Minister's suggestion on nuclear deal seriously, I hope Prime Minister will take cognizance of what I raised," Samajwadi Party general secretary Amar Singh told agencies.

Also targeting the Petroleum Minister, Singh said Murli Deora "continues to favour only one well-known private operator". He said no individual in private sector "should be allowed this kind of loot."

While the country is reeling under the "spectre of unaffordable petrol, diesel and cooking gas prices," these oil companies were enjoying "double mazaa and indirect loot", he said.

Singh said the petrol pumps started by the private firms have been converted into real estate and pointed out that "they (private refiners) are earning Rs 15 per barrel and a profit of USD six billion."

Singh, however, debunked reports that he was working at the behest of his close friend and Reliance ADA Group chairman Anil Ambani, who is at loggerheads with elder brother Mukesh.

"Finance Minister is perceived to be close to Anil Ambani if Murli Deora is perceived to be close to Mukesh Ambani. public perception is not good," the SP leader said.

Suggesting a windfall profit tax of up to 50 percent on both upstream and downstream operators, Singh said the levy will immediately cover the under-recoveries of the oil marketing companies by Rs 100,000 crore.

Bureau Report

First Published: Tuesday, July 08, 2008, 00:00

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