The Congress government of Manmohan Singh was totally obsessed with the LPG cylinders and its’ price. The UPA government created a sentiment in the country that the economy was in shambles only due to the fact that the LPG cylinders were subsidized. The UPA Government fashioned a huge fiscal deficit, whose causes were elsewhere. But the government only targeted LPG cylinders.
A great exercise was done to reduce the number of cylinders anyone can take from the dealer. A limit of 9 cylinders per year was fixed for the middle classes. Towards this end, a huge complicated system of subsidies were organized. The poor were to be allowed 12 subsidized. LPG cylinders per year. Others were to be allowed only 9 cylinders per year.
The middle class felt that government which is only focusing on some castes and religions were totally devastated. The housewives everywhere felt that even this financial assistance was being taken away from them.
The middle classes witnessed lakhs of crores allotted and wasted on Loot Schemes like NREGA. They felt that the UPA government ignored them as they did not constitute a visible and cohesive vote-bank. The middle classes showed their resentment during the Delhi Assembly elections and routed the Congress Party. Even then, the Congress Party did not learn any lessons.
Now we find that the BJP Government is again tinkering and making loud noises about the LPD domestic gas. It is obvious that the BJP has the same set of advisers as the last UPA Government. It goes without saying that if the BJP Government continues to raise prices of LPG Gas, without a corresponding betterment of other middle class concerns, then there will be a serious political throwback.
Thee are so many other wasteful subsidies in the pipeline. Government can reduce them or remove them. Leave the LPG Gas alone.