Petrol hike likely to roll back as allies slam government

Congress' allies Friday slammed the steep hike in the petrol price with a key UPA constituent Trinamool Congress talking in terms of pulling out of the government as indications emerged that a partial roll-back of the increase may be on the cards.

In a bid to put pressure on the government, the Trinamool Congress, the second largest constituent of the UPA with 18 MPs,  held an emergency meeting of its Parliamentary Party after which Chief Minister Mamata Banerjee said leaders favoured  withdrawal of support but she has stayed such a move.

"Our withdrawal of support may result in fall of the government.  But since the Prime Minister is away, we want to discuss with him and have sought an appointment with him," she said.

Banerjee said Congress was dependent on the support of allies like the Trinamool Congress, NCP and DMK to run the government but the allies have been silenced and not not heard in the Cabinet.

Allies like NCP and National Conference also expressed their discomfort with the petrol price hike and sought a reconsideration of the decision.

Even as allies mounted pressure, the oil marketing companies ruled out a roll back of their yesterday's decision but said they would cut the rate if government gives them a directive.

Congress sources indicated that a "partial rollback" of the hike hike could happen in the next few days after Prime Minister Manmohan Singh's return from G-20 summit in France.

A senior party leader, speaking on the condition of anonymity, said the allies would be consulted after Prime Minister's return.

At the AICC briefing, Congress spokesperson Abhishek Singhvi sought a "healing touch" from the government to the common man.

"Congress party is very concerned about the price rise and calls upon the government to take measures.  We hope the government will look into the matter very seriously and not not only do everything in its power to diminish this increase but also to consider other ways and means of giving relief to the needy," he said.

However, he refused to go into specifics.  "We are not not here to fetter the jurisdiction and work of the government.  Whichever means has the desired effect will be highly desirable.  But we leave it to the discretion of the government to decide these steps," Singhvi said.

On his part, Finance Minister Pranab Mukherjee said the hike in petrol prices would have some impact on inflation. Oil prices were going up and petrol was a decontrolled item, he said.

"Nobody in the government knows.... because petrol prices are increased by the petroleum companies,  not by the government.  Diesel, kerosene and gas are controlled items," he told reporters.

Congress allies, NCP and the NC, said the repeated hike in petrol prices burdened the common man and they would raise the issue within the government.

"In the next Cabinet meeting there will be a debate on it," New and Renewable Energy Minister and National Conference President Farooq Abdullah told reporters here.

Sharad Pawar's NCP wanted the government to devise some mechanism to keep the fuel prices in check.

"We are very much concerned. The government should devise some mechanism to check frequent hike in petrol prices," NCP General Secretary Tariq Anwar told PTI.

Asked about Trinamool Congress' threat to pull out of government on the issue, Anwar was quick to add, "We do not have any such plans."

Abdullah and Anwar pointed out that the government had not touched the prices of diesel and cooking gas which is used by the masses.

"Rising petrol prices depend on the international market. But still, they have kept diesel prices very low, because majorly diesel is used here," Abdullah said.

"We are not angry or upset. We think we will have to work collectively to get it under control," he said.