I was talking about inflation in this country in the first part and here are 2 more articles that i found interesting.
On the viscious inflation cycle there is The inflation impact in four stages
On सास बहु serials influencing govt policy Inflation, Oil and Exchange Rates
India is the worlds weirdest oil market. At one end , there are the private cos like reliance etc which sell their refined petrol, diesel etc directly to the international mkts making handsome gains , and on the other we have the President of India ( the supposed owner of all psus though they are public property) (in simpler terms the FM and the Petro minister ), who routinely taxes crude at abysmally high levels on landing and at the pumps, while it skims all profit from upstream oil and gas cos like ONGC, GAIL and OIL as Subsidy sharing and on the other end break the oil mktg cos backbone by forcing likes of HPCL, BPCL etc to sell stuff to an arbitrary low price fixed by the govt.
Read The Great Oil Sham
The Dr Rangarajan Committee on Pricing and Taxation of Petroleum Products had estimated that duties on petroleum fetched the Centre and the States a total of Rs 1,20,946 crore in 2004-05
As the oil price has climbed relentlessly the Oil time Bomb is ticking, both for the poor oil companies and mainly for their minority shareholders including me, and im considering selling my long term oil psu holdings lock n stock and obviously not the barrel(cause hey they need barrels to store oil 😉
ONGC subsidy outgo to rise 17.5% in 2007-08
Sukhani warns Avoid HPCL, BPCL, IOC
Overall over a long period of time these navratnas will eventually become nangaratnas ready to be taken over by the likes of Reliance. I dont know if minority shareholders can drag the govt to CLB for unfair practices and skimming of profits and running policy detrimental to the long term health of the company. Worse the govt pays a part of this subsidy as OIL bonds and not hard cash, and as the flow of OIL bonds has increased of late, their use to the cos has decreased as they are no substitute to HARD CASH!
The Oil Marketers are loosing money so fast that banks are refusing loans for working capital. Thats not all there is the BIG PSU battle brewing between the refiners and the importers of oil.
On the War on terror front or the lack of it here in India here are a few good posts
Tell me do terrorists really have no religion ? read the comments on what some of the aam janta think.
Nita has a very good post, Does India need a Prevention of Terrorism Act?
I think India does need not just an act, but mainly political will and independent agencies with strictly non politically appointed heads having a very good intelligence network, along with a specialised units to deal with this scourge. See how the Israelis operate …
Entebbe Operation (1976)
While closing id like u to see this video from Jon Stewarts Daily Show Indecision 2008 – West Virginia or the synposes of the whole show here. Just cant miss that opinion : I dont want that Whosain thing, Ive had enough of that hussein !