New Delhi, Jun 15: Expressing concern over the rise in international crude oil prices, Union Petroleum Minister, Murali Deora said that government is looking at solutions to tackle the widening revenue deficit. One of the option before the government could be raising petrol and diesel prices.
Murli Deora said to media, "We are seriously concerned about the rise in crude oil prices ... we have to look for solutions." Earlier government was planning to deregulate petrol and diesel prices as the crude oil prices came down by $100 from the historic high of $147 per barrel. But with the rate again going up, doubts are being raised of reduction in prices.
Crude oil prices are ruling at $71-72 a barrel, a seven-month high. "We have to seriously look at solutions... the alternatives before us are raising petrol and diesel prices, asking the government to make up for revenue loss (of fuel retailers) through issuing oil bonds and upstream firms (like ONGC) chipping in," he said. "It could even be all of the three as had been the practice till now," he added.
Deora, however, was not categoric in saying if raising petrol and diesel prices was on table. "I cannot say that," he said when asked if the Government was considering a fuel price hike.