New Delhi: With crude oil prices hitting a 14-year high amid the Russo-Ukraine war, speculations are high that oil marketing companies (OMCs) in India may also start raising fuel prices gradually.
Union Petroleum and Natural Gas Minister Hardeep Singh Puri on Tuesday said oil companies will fix the fuel prices and assured that there will be no shortage of crude oil in the country.
“I assure you all that there will be no shortage of crude oil. We will ensure that our energy requirements are met, even though 85 per cent of our requirements are dependent on crude oil imports and 50-55 per cent on gas ” Puri said in a press conference.
There is speculation that petrol and diesel prices may start increasing after the state election results are released later this week.
Puri, however, denied the allegation that the Center had earlier reduced fuel prices due to the elections and that the rates would be hiked again after the elections.
Puri said the Center had last year reduced petrol by Rs 5 a liter and diesel by Rs 10 a liter, but “youth leaders” said it was done because of assembly elections in five states, the results of which were held on March 10. will be announced. ,
He said people should pay attention to other situations like the Ukraine-Russia crisis to understand why rates were hiked globally.
“Oil prices are determined by global prices and there is a war like situation in one part of the world and oil companies will be the factor. Oil companies themselves will decide the prices. We will take the decision in the best interest of the citizens,” Puri said.
Petrol and diesel prices have remained stable since November, even as Brent crude prices fell to $70 a barrel in December.
Before November 2021, rising pump prices were a major cause of concern for consumers as it hit record highs.
However, the prices have come down after the government cut excise duty on petrol and diesel by Rs 5 and Rs 10 per liter respectively. Most of the states brought much needed enthusiasm to the consumers by reducing the Value Added Tax (VAT) in addition to the excise duty.
At present, the price of petrol in Delhi is Rs 95.41 and in Mumbai it is Rs 109.98 per liter. Diesel costs Rs 86.67 per liter in Delhi and Rs 94.14 in Mumbai.
Earlier in the day, the price of CNG was increased by Rs 0.50 per kg in the national capital and adjoining cities.
According to information posted on the website of Indraprastha Gas Limited, a retailer of CNG and piped LPG in the national capital, the price of CNG in NCT of Delhi has been increased from Rs 56.51 to Rs 57.51 per kg.
After consolidating international gas rates, IGL has been increasing CNG rates by up to 50 paise (Rs 0.50) per kg from time to time. This year itself, the prices have increased by about Rs 4 per kg.
Crude oil prices on Tuesday rose by Rs 37 to Rs 9,321 per barrel as participants widened their positions on firm spot demand.
On the Multi Commodity Exchange, crude for delivery in March was trading higher by Rs 37, or 0.4 per cent, at Rs 9,321 per barrel in 9,660 lots.
(with inputs from agencies)
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