Srinagar, June 4 : Communist parties have threatened to launch a public stir if the government goes ahead with a possible fuel price hike.
"We will stir a public agitation against the price hike. It is due to the pressure put by the Left that the government has not been able to raise the fuel prices as decided by it. The government had plans to hike the price of petrol by rupees 20, diesel by rupees 11, LPG by rupees 150 and rupees 15 on kerosene to recover the losses," said CPI (M) Politburo member Sitaram Yechury.
The government is weighing the losses at state oil firms, which they say are running out of money to import crude oil, and the political fallout of the inflationary move for Congress, which lost a state election last month and faces more polls.
Indian oil companies have been bearing the brunt of the surge in global oil prices and have recorded a Rs 2,25,040 crore revenue deficit with the Central Government grappling to find ways to bail out the cash-strapped oil companies and to keep the common man happy in an electorally important year.
Petroleum Minister Murli Deora who has been advocating a Rs 10 a litre hike in petrol, Rs 5 per litre increase in diesel and Rs 50 per cylinder raise in LPG prices will present his side in the cabinet.
However, the price hike may be limited to Rs 3, 5 or 7 a litre on petrol and Rs 2, 3 or 4 a litre on diesel. LPG prices may be raised by Rs 20 per 14.2-kg cylinder, sources said.