It is extremely distressing that instead of passing on benefit of a substantial fall in the world prices of oil to the public, there is a proposal on the anvil for a further increase in prices of both petroleum and gas. It is under active consideration of federal government for the forthcoming budget. The government intends to generate additional revenues of Rs 70 billions by raising Rs 5 per liter on all oil products and Rs 5 per unit of gas, we are told. That would be adding the last straw to a whole truckload already hoisted on back of the Pakistani public. The government is reported to have made Rs 200 billions already from taxes and levies on this sector alone in the last ten months. That, by the way, does not include a levy called the PDL. The levy on petroleum products recovered in the name of Petroleum Development Levy (PDL) does not add up to the figures of Federal Board of Revenues collection but goes directly into the account of the Ministry of Petroleum. It is, therefore, not added to the national pool that is supposed to be divisible among provinces according to terms of the NFC Award. Thus, it is a case of double jeopardy: on one hand, the Ministry of Petroleum is free to utilize about Rs. 120 billions per annum and on the other, the provinces are deprived of their legitimate share from the PDL. The current proposal is not feasible at all as it would have disastrous consequences on overall economic activities in the country because the cost of every product is likely to escalate with the increase in petroleum price. The concomitant increase in the cost of goods would affect exports as well as reduce purchasing power of the general consumer at home. Normally, when governments are short of funds, they resort to raising revenue through direct taxes by either increasing the rate of tax or withdrawing exemptions. Unfortunately, the practice in Pakistan during the past military regimes was to protect interests of the rich, imposing indirect taxes such as GST/VAT and levies, etc., which always affect the underprivileged and voiceless classes of society adversely. The present regime, although it came to power through a popular vote, has continued with the same team of financial managers, including the same finance minister. So even with the public at the end of the tether due to sky-high inflation, unremitting outages of power and large-scale unemployment, they are determined to impose a further surcharge on petrol and gas. -SHAFIQUE AHMED, Dubai, May 27.