The budget did not seek to remove the subsidy that diesel cars get because of the differential pricing between diesel and petrol.
One significant impact of this is today's announcement on an investment of 1700cr by Maruti to build diesel cars.
Quite a significant impact on the exchequer because of the growth in the Usage of diesel fuels in the country
Let's take an example
If the cost of the subsidy is rs 10 per liter of diesel, then with the increase of usage by 100 Ltrs makes the subsidy increase by Rs 1000 on the government.
It's quite an impact. Not sure why the finance minister did not take this step in this budget.
Not smart investing
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