The revival of the HIV and AIDS (Prevention and Control) Bill, 2014, and the Union Cabinet’s approval for provisions that make discrimination against people living with the virus punishable, are positive steps.
Such laws, however, can only deliver benefits within the overall constraints imposed by an underfunded public health system. Where the legislation can make some difference, with active monitoring by HIV/AIDS support groups, is in ensuring that acquiring the infection does not mean an end to education, employment, access to housing and healthcare due to discrimination.
The success of the anti-discrimination aspects hinges on the readiness of governments to accept the inquiry findings of ombudsmen, to be appointed under the law, and provide relief. Since the new law is intended to both stop the spread of the disease and help those who have become infected get antiretroviral therapy as well as equal opportunity, it will take a high degree of commitment to provide effective drugs to all those in need.
In August, the Ministry of Health and Family Welfare put the number of people getting free treatment nationally at 9,65,000, of which 53,400 are children. This must be viewed against the most recent estimate last year, that 21 lakhs people live with HIV in India, of whom 7,90,000 are women. Regional variations in access to diagnosis and treatment must be addressed.
The legislation and the structure of complaints redress that it proposes should provide some relief to thousands of families that face discrimination in admitting children to school, an infected individual getting a job, or treatment in hospital.
Unlike many other diseases, however, HIV/AIDS has received global attention and funding, thus building up pressure on governments to come up with supportive policies. Communities will now have the opportunity to ensure that the strongest element of the prospective law, assuring confidentiality of HIV status, is enforced.
A breach could invite imprisonment and a fine. Yet, the proposals approved by the Cabinet fail on one important count: the insurance industry is allowed to use actuarial calculations to limit access to products to people with HIV.
National AIDS Control Organisation data for 2015 indicate that while there is an overall decline in HIV prevalence among visitors to antenatal clinics, there was a rise in nine States. The government must get down to business and close such gaps.
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Petrol in India is cheaper than in countries like Hong Kong, Germany and the UK but costlier than in China, Brazil, Japan, the US, Russia, Pakistan and Sri Lanka, a Bank of Baroda Economics Research report showed.
Rising fuel prices in India have led to considerable debate on which government, state or central, should be lowering their taxes to keep prices under control.
The rise in fuel prices is mainly due to the global price of crude oil (raw material for making petrol and diesel) going up. Further, a stronger dollar has added to the cost of crude oil.
Amongst comparable countries (per capita wise), prices in India are higher than those in Vietnam, Kenya, Ukraine, Bangladesh, Nepal, Pakistan, Sri Lanka, and Venezuela. Countries that are major oil producers have much lower prices.
In the report, the Philippines has a comparable petrol price but has a per capita income higher than India by over 50 per cent.
Countries which have a lower per capita income like Kenya, Bangladesh, Nepal, Pakistan, and Venezuela have much lower prices of petrol and hence are impacted less than India.
“Therefore there is still a strong case for the government to consider lowering the taxes on fuel to protect the interest of the people,” the report argued.
India is the world’s third-biggest oil consuming and importing nation. It imports 85 per cent of its oil needs and so prices retail fuel at import parity rates.
With the global surge in energy prices, the cost of producing petrol, diesel and other petroleum products also went up for oil companies in India.
They raised petrol and diesel prices by Rs 10 a litre in just over a fortnight beginning March 22 but hit a pause button soon after as the move faced criticism and the opposition parties asked the government to cut taxes instead.
India imports most of its oil from a group of countries called the ‘OPEC +’ (i.e, Iran, Iraq, Saudi Arabia, Venezuela, Kuwait, United Arab Emirates, Russia, etc), which produces 40% of the world’s crude oil.
As they have the power to dictate fuel supply and prices, their decision of limiting the global supply reduces supply in India, thus raising prices
The government charges about 167% tax (excise) on petrol and 129% on diesel as compared to US (20%), UK (62%), Italy and Germany (65%).
The abominable excise duty is 2/3rd of the cost, and the base price, dealer commission and freight form the rest.
Here is an approximate break-up (in Rs):
a)Base Price | 39 |
b)Freight | 0.34 |
c) Price Charged to Dealers = (a+b) | 39.34 |
d) Excise Duty | 40.17 |
e) Dealer Commission | 4.68 |
f) VAT | 25.35 |
g) Retail Selling Price | 109.54 |
Looked closely, much of the cost of petrol and diesel is due to higher tax rate by govt, specifically excise duty.
So the question is why government is not reducing the prices ?
India, being a developing country, it does require gigantic amount of funding for its infrastructure projects as well as welfare schemes.
However, we as a society is yet to be tax-compliant. Many people evade the direct tax and that’s the reason why govt’s hands are tied. Govt. needs the money to fund various programs and at the same time it is not generating enough revenue from direct taxes.
That’s the reason why, govt is bumping up its revenue through higher indirect taxes such as GST or excise duty as in the case of petrol and diesel.
Direct taxes are progressive as it taxes according to an individuals’ income however indirect tax such as excise duty or GST are regressive in the sense that the poorest of the poor and richest of the rich have to pay the same amount.
Does not matter, if you are an auto-driver or owner of a Mercedes, end of the day both pay the same price for petrol/diesel-that’s why it is regressive in nature.
But unlike direct tax where tax evasion is rampant, indirect tax can not be evaded due to their very nature and as long as huge no of Indians keep evading direct taxes, indirect tax such as excise duty will be difficult for the govt to reduce, because it may reduce the revenue and hamper may programs of the govt.