• search
For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

Oil price to change fortnightly

|

Mumbai, Jul 10: To reflect changes in the global oil market in the free pricing regime, the State-owned oil firms may prefer to reorganize petrol prices every fortnight.

Government freed petrol prices in Jun 2010, which resulted in a Rs 3.50 per litre hike in rates in Delhi but modalities of subsequent retail price adjustments were left to the industry to deliberate and decide.

Indian Oil, Bharat Petroleum and Hindustan Petroleum on Thursday, Jul 8 began consultations on modalities like the frequency or interval at which prices will be revised and if the PSUs should have uniform rate that would change on same date.

Private firms Reliance Industries, Essar Oil and Royal Dutch/Shell too are being consulted in the exercise.

most retailers favour fortnightly revisions in retail rates to reflect changes in cost of raw material (crude oil).

But IOC, the nation's largest oil firm was not agree with the rest. IOC wanted rates not to be revised too often.

Those in favour of a 15-day cycle for price adjustment argue that oil firms already have a mechanism of calculating the desired fuel prices on 1st and 16th of every month. Also, rates of aviation turbine fuel (ATF), which was freed from Government control in 2002, change with cost every fortnight.

But IOC claimed that a fixed date for revision may lead to hoarding at pump end.

Modalities are likely to be finalized by the second week on Jul 2010 and pump rates would be revised accordingly.

OneIndia News

For Daily Alerts

For Breaking News from Oneindia
Get instant news updates throughout the day.

Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Oneindia sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Oneindia website. However, you can change your cookie settings at any time. Learn more