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Oil Ministry refutes fuel price hike buzz
Oil Ministry refutes petrol, diesel price hike buzz: ‘India the only country where petrol and diesel prices...’
The government on Thursday dismissed media reports suggesting that petrol and diesel prices may be hiked by ₹25-28 a litre soon after assembly elections as “mischievous and misleading” and said that there no such proposal was under consideration.
"There are some news reports suggesting a price hike of petrol and diesel. It is hereby clarified that there is no such proposal under consideration by the government," the Ministry of Petroleum and Natural Gas said in a post on X.
The clarification came after a report by Kotak Institutional Equities hinted of a steep increase in petrol and diesel prices once the polling for assembly elections in states like West Bengal ends on April 29. Kotak projected a ₹25-28 a litre increase in price based on crude oil staying close to $120 per barrel.
The ministry said such reports are "designed to create fear and panic amongst the citizens and are mischievous and misleading."
“In fact, India is the only country where petrol and diesel prices haven't increased in the last four years,” it noted. “Government of India and oil PSUs have taken relentless steps in order to insulate the Indian citizens from steep increases in international prices.”
International oil prices spiked ever since the US and Israel attacked Iran on February 28, and Tehran effectively shut the Strait in a sweeping retaliation.
The Strait of Hormuz is a critical route, accounting for about 20% of daily global oil supplies and 40% of Indian crude imports. It is one of the world's most critical energy arteries, linking the Persian Gulf to global markets and handling roughly a fifth of global oil trade along with significant volumes of liquefied natural gas.
After the Iran war, oil prices spiked from around $70 per barrel to $119 before seeing some correction. Renewed tensions have pushed Brent, the world's most known crude oil benchmark, to $103-106 per barrel.
Despite a more than 50% rise in input crude oil prices, petrol and diesel rates have remained unchanged in India. Petrol is priced at ₹94.77 a litre in the national capital and diesel comes for ₹87.67.
Source: LiveMint
Related Posts: International oil prices, Strait of Hormuz, crude oil prices, petrol and diesel rates, India oil prices, petrol and diesel prices, government of India, oil trade
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