Ministry seeks hike in prices of petroleum products

New Delhi, June 27: Petroleum and Natural Gas Ministry has sought across-the-broad increase in prices of petrol, diesel, kerosene and LPG, estimating that oil marketing companies (OMCs) would collectively suffer a loss of about Rs 50,400 crore in the current financial year, if the hike is not effected.

It, however, remains to be seen how the consultative committee of MPs for the ministry respond to the request when it meets here tomorrow.

Stating that oil prices in the international market have started firming up once again, the ministry said that price of petrol and diesel required to be increased by Rs 5.60 and Rs 4.41 per litre respectively. It suggested a staggering increase of over Rs 14 per litre for kerosene sold through public distribution system (PDS).

For liquified petroleum gas , the ministry asked for a whooping hike of over Rs 160 per LPG cylinder, sources said.

The ministry said price of Indian basket crude, after falling to a low of 49.85 dollar per barrel in early January 2007, had touched a high of 68.87 dollar per barrel on May 24. It calculated the average price at 65.64 dollar per barrel for the current fiscal till May 29, the sources added.

UNI

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