The Karnataka government has increased petrol prices by Rs 3 and diesel by Rs 3.5 per liter through higher sales tax. The BJP has criticized this decision, arguing that it will lead to higher costs for public transport and essential goods.
The Karnataka government has justified its decision to raise fuel prices, stating that the additional revenue is necessary to finance the Congress party’s election promises and the state’s development projects. State Minister for Commerce and Industries, MB Patil, mentioned that Karnataka’s petrol and diesel prices are still lower than in other states despite the hike.
Union Minister Pralhad Joshi, disagreeing with the Karnataka government’s stance, commented that the price increase would lead to an inflation of essential commodities, causing an increase in the cost of living, and that the state government should revoke the hike.
Karnataka Chief Minister Siddaramaiah has allocated Rs 52,009 crore for his government’s five guarantee schemes this year. These schemes include providing 200 units of free electricity to all households (Gruha Jyoti), offering Rs 2,000 monthly assistance to the female head of every family (Gruha Lakshmi), paying cash in place of an additional 5 kg of rice to each member of a BPL household (Anna Bhagya), giving Rs 3,000 per month to unemployed graduates and Rs 1,500 to diploma holders for two years (YuvaNidhi), and ensuring free travel for women on public transport buses (Shakti) introduced by the Congress party.
Karnataka’s Political Tensions
The increase in fuel prices was introduced a few days after the Lok Sabha results. The BJP believes this was a petty move made by the Siddaramiah government after the NDA secured 19 seats in Karnataka.
Jagadish Shettar has criticized the Congress party’s five guarantee schemes for placing significant strain on the exchequer. The former Chief Minister of Karnataka says that no funds are left for developmental work due to the guarantees and free schemes. The BJP government is not against them but urges the Congress Party to be reasonable.
Siddaramiah has defended his decision, accusing the previous BJP government of collaborating to redirect Karnataka’s resources to other states. “We have continuously lowered diesel and petrol VAT under the state BJP government while the central government has raised them,” he said.
This resulted in reduced revenue for Karnataka, while the Centre accumulated more funds, deceiving the people of Karnataka, the chief minister alleged. “We can finance essential public services and development projects because of Karnataka’s VAT adjustment,” he stated.
BJP Stages Statewide Protest Against Fuel Price Hike in Karnataka
On June 17, 2024, the Bharatiya Janata Party (BJP) in Karnataka organized a statewide protest against the increase in petrol and diesel prices. The protest, led by the party’s state president, BY Vijayendra, condemned the Congress government’s decision to raise the sales tax on fuel, resulting in a ₹3 per liter hike for petrol and ₹3.5 per liter for diesel.
The BJP accused the Congress government of mismanagement and corruption, claiming these issues severely harmed the state’s financial stability. Vijayendra warned that the price hike would negatively impact the people of Karnataka, especially farmers and ordinary citizens, by raising transportation costs and essential goods.
The party attributed the state’s financial problems to the Congress government’s poor management and corruption, which caused a revenue crisis. Vijayendra called Chief Minister Siddaramaiah to reverse the decision, labeling it “stupid and anti-people.”
The BJP’s protests took place at all district headquarters across the state, with party leaders and supporters actively participating. The party pledged to continue the demonstrations until the government rescinds the fuel price hike.
