Deora skillfully nudges Amar Singh volley into FinMin court

By Nayantara Rai, CNBC TV18

Earlier, Amar Singh, General Secretary, Samajwadi Party, once again alleged today that Petroleum Minister Murli Deora was favoring certain corporates imposing a windfall profit tax on private oil companies or changing the export oriented unit statement, which is for private refineries. The Petroleum Ministry’s stand though is very clear. It is saying it is not up to the Petroleum Ministry to take these decisions. If a windfall profit tax has to be imposed on private oil companies, the decision can only be taken by the Finance Ministry. If the EoU status of private refineries has to be changed, that decision has to be taken by the Commerce Ministry. So, the Petroleum Ministry cannot really do much.

Sources said it is not possible or practical for the Congress to take up Amar Singh’s suggestions or to implement them. For example, if a windfall profit tax has to be imposed on private oil companies, there has to be legislation. But Parliament is in mid-session.

The same goes to for changing the EoU statement on private refineries. Amar Singh is going to be meeting Sonia Gandhi later today. Whether Sonia Gandhi allows thise suggestion will only be known later. However, sources maintain that the Congress Party cannot possibly impose a windfall profit tax or change the EoU status of private refineries. 

Meanwhile, Commerce Minister said, “Elections will take place when they are supposed to take place and that is by May of next year, the Left support is just one of the supports. The government will establish, undoubtedly its majority, there is no doubt in that.” On the issue of windfall tax he said, “We don’t want profiteering, we want profit, and this is, if somebody suggests, as has, we will look into it.”