Diesel price was on Friday hiked by 50 paise per litre but there will be no change in petrol rates. The hike, effective midnight Friday, is excluding local sales tax or VAT. The actual increase will be higher and will vary from city to city.
However, the price of non-subsidised cooking gas (LPG), which customers buy after completing the quota of 12 subsidised cylinders, is cut by Rs. 107 per cylinder as there is downward trend in petroleum prices.
The price of diesel in Delhi will be hiked by 57 paise, including tax, to Rs. 54.91 per litre, while it will be Rs. 63.23 per litre in Mumbai as against Rs. 62.60 at present.
The diesel price hike is in line with the January 2013 decision of the government to raise rates by up to 50 paise per month till such time that the entire losses on the fuel are wiped out, and prices as per the market.
Announcing the price hike, Indian Oil Corp, the nation’s largest fuel retailer, said that even after the 13th price hike since January last year, oil companies are incurring Rs. 9.24 per litre loss on sale of the fuel.
Officials said there will be no change in petrol rates as current price of Rs. 72.43 a litre in Delhi was almost in line with the cost.
The 14.2-kg cooking gas cylinder that consumers buy beyond their entitled 12 cylinders at subsidised rates, will now cost Rs. 1,134, down from Rs. 1,241, in Delhi.
Non-domestic LPG rates were at the beginning of the year hiked by a steep Rs. 220 per cylinder but have now been cut in line downward trend in international market.
IOC said losses on LPG have come down to Rs. 656 per 14.2-kg cylinder from Rs. 762.50.
Nagpurians were on an average happy when the news of reduction in non-subsidised gas was received. But there was a general feeling that due to linking of Aadhar card for gas subsidy the common man is in continuous trouble as the controversy goes on and on. It is felt that as there is change every day in the quota of subsidised cylinders the common people are very confused about their small budget.
Many people while talking to this reporter said that the gas dealers are fishing in troubled waters as no one knows the exact policy and supply position.
In west Nagpur there were many consumers who made allegations about non-supply of cylinders from a LPG dealer in Surendranagar. They said even after 15-20 days of booking no supply is made and there are long queues even for enquiring about when they are likely to get the supply.