The latest happy news for consumers is that oil companies have slashed petrol and diesel price by 2.41 and 2.25 per litre respectively.
So now Petrol will be 64.25 / litre and Diesel will be 53.35 /litre in Delhi.
It means different things for different sets of people:
1. For those who do not have car, Its time to Cheer up. Right time to buy a car. For them ACHE DIN AA GAYE. Petrol and diesel difference is coming close.( NEW BUYERS)
2. For those who already have car , may find a little reduction in their fuel bill( psychologically assuming), but their credit card bill is definitely going to rise as they will spend more on the fuel, can get an extra trip with a pleasure that their spend has come down. These people can plan an extra trip to the nearby periphery of 100-300 kms. Might plan official trip to nearby places in their own car avoiding the hustle in stations. For these class of people the weekends will have more fun (be it with family or friends). They can drive 15-20 km extra on the same amount of fuel(depending on mileage and assuming a car tank of 25 Litre ).With family trip their overall cost will go down. Time to bring back a big smile. Great !!! you have saved a lot. These people may sell their old car and upgrade with a new car. The Car lying idle at home may be used by the other family member who otherwise was using public transport. Just 200 families upgrading their cars will add to 200 new cars on road ( in addition to their 200 old cars).The growth will definitely be exponential. This growth may also be triggered by parents gifting new cars to their son/daughter as they will pass with flying colors and these kids will not even see the petrol and diesel prices.
If you can sum up the overall situation in a country with 1.2 billion population, the traffic situation will get worse.
Managing one of the hedonistic consumption initiator in the Indian society is going to be tough for Traffic department.
Now look at the scenario in future. The number of cars in the roads will increase. Two wheelers numbers will increase.( Automobile sector will have a high time). We may see so many cars and bikes launches in near future. Though the overall car sales in this festive season has only increased by a trickle(only 1% unit sales increase of Maruti cars , Hyundai seeing a 6% increase and some major companies seeing a decline too)
For a common man:
- Lower Fuel cost and High average = He/She can drive more
- Reduce dependency on public transport system
- Increase fuel spend as the frequency of using vehicles will also increase.
- Increased credit card bill
IS IT MORE SAVING??
“Every ACTION HAS AN EQUAL AND OPPOSITE REACTION”- Reduced cost will too have its own reaction
With the same infrastructure, the people in week days may find more traffic in their daily commutation aggravated by People No. 1 or by their friends amongst people 2.Weekends trip will also be full of traffic from the new buyers and already existing buyers.
I believe the overall time to reach home from office or to travel a nearby place will increase. The net effect will be neutral sometimes and sometimes can be negative .The overall frustration will be from the idle TIME LOST in the traffic or wasting more fuel by keeping your car in start mode. They may get less time to spend with your family( Can lead to unnecessary discussion with their wife or no time to talk to children).The next morning they will again start from a big discussion on traffic .
Everyone will curse the government of poor infrastructure and definitely Mr.Modi will prop up in everyone’s mind( Where are the Ache Din?)
Your happiness now will be limited to the reaching 10 minutes early in office which you may boast about.
Is Happiness all about Relativity. Give it a thought!!!!!