New Delhi, Nov 7: Petroleum Minister Murli Deora today said the government will decide on the fuel price hike next week.
'' Government is very much concerned about the oil companies which are reeling under acute losses. We are trying our best to cope with the situation,'' Mr Deora told reporters on the sidelines of Energy Summit here.
Mr Deora, along with oil PSUs chairmen, will meet Prime Minister Manmohan Singh on the issue of the losses suffered by the oil marketing companies.
''We are optimistic of a solution next week,'' Mr Deora said, adding that,'' Options before us are price rise in civil products, duty cut or issuing of oil bonds.'' UPA chairperson Sonia Gandhi is closely monitoring the whole situation, Mr Deora added.
The Indian basket is now trading at over 85 dollars per barrel, widening the revenue loss of Indian Oil, Bharat Petroleum and Hindustan Petroleum by nearly Rs 7,000 crore.
The state-run firms are currently incurring a loss of Rs 240 crore every day on sale of petrol, diesel, LPG (cooking gas) and PDS kerosene.
Oil prices powered past a record 98 dollars in Asian trade today, as the dollar sank to a new low.
Crude oil prices surged to record highs in the month of October and crossed the 90 dollars a barrel mark. Oil prices have risen by nearly 35-40 per cent since summer.
The rally in oil prices has been attributed largely to the weakness in the US dollar which has prompted a shift in investments from dollar denominated securities to commodities such as crude oil.