This withdrawal of subsidy for the supply of diesel to bulk consumers will cripple the public transportation system at a time when the necessity is for strengthening the public transportation system. The sharp increase in private vehicles and traffic is causing rising pollution and a major environmental problem. The only way out is to restrict the expansion of private vehicle and to strengthen public transport.

 
Press Release
 
CPI(M) General Secretary, Prakash Karat has addressed a letter  to the Prime Minister on February 2, 2013, urging the government to reconsider its decision to charge market rate for bulk consumers of diesel. The full text of the letter is being released for publication.
 
 
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Text of Letter
 
February 02, 2013
 
 
Shri Manmohan Singh
Prime Minister
Government of India
New Delhi
 
Dear Shri Manmohan Singhji,
 
The Government of India has decided to charge the market rate of diesel for bulk consumers like State Transport Undertakings, railways etc from January 18, 2013.  As a result, the State Transport Undertakings have to pay an extra Rs. 11 to 12 per litre plunging them into a financial crisis.  There are reports of State Transport Corporations curtailing their services and reducing the routes on which buses ply.  Steps are being taken to increase the bus fares.   All this is going to badly affect  the common people who use public transportation.
 
This withdrawal of subsidy for the supply of diesel to bulk consumers will cripple the public transportation system at a time when the necessity is for strengthening the public transportation system.  The sharp increase in private  vehicles and traffic is causing rising pollution and a major environmental problem.  The only way out is to restrict the expansion of private vehicle and to strengthen public transport. 
 
Instead of doing that, the government’s retrograde decision is a serious blow to public transport and will lead to further privatization of transport services. 
 

I, therefore, urge you to reconsider the decision. You are requested to restore the subsidy on diesel to bulk consumers like the State Transport Undertakings which will be in the public interest.