Diesel price hike of 1 rupee per litre a month proposed

NEW DELHI Wed Jan 9, 2013 6:04pm IST

A driver waits in a taxi for his turn to fill up his tank with diesel at a fuel station in Kolkata June 14, 2012. REUTERS/Rupak De Chowdhuri/Files

A driver waits in a taxi for his turn to fill up his tank with diesel at a fuel station in Kolkata June 14, 2012.

Credit: Reuters/Rupak De Chowdhuri/Files

Related Topics

A statue of Ganesh, the deity of prosperity, is carried in a taxi to a place of worship on the first day of the ten-day-long Ganesh Chaturthi festival in Mumbai August 29, 2014. REUTERS/Danish Siddiqui

Ganesh Chaturthi Festival

During Ganesh Chaturthi idols will be taken through the streets in a procession accompanied by dancing and singing, and will be immersed in a river or the sea in accordance with Hindu faith.  Slideshow 

NEW DELHI (Reuters) - The oil ministry has made a proposal to cabinet to raise diesel prices and increase the number of subsidised cylinders available to households to nine a year from the current cap of six, two oil ministry sources said on Wednesday.

"We have moved the cabinet note last week. It has a number of combinations including the ... recommendation of raising diesel prices by one rupee per month for 10 months," one of the sources said.

The other source said the government would also consider raising the cap on LPG cylinders from six to nine.

"The Cabinet proposal has been moved but it is not listed for tomorrow's meeting," he said.

India, which imports more than 80 percent of its fuel needs, liberalised petrol prices in June 2010 but continues to regulate diesel prices to protect the poor.

Prime Minister Manmohan Singh has recently said the country must gradually bring local fuel prices in line with global prices.

(Reporting by Nidhi Verma; Editing by Jo Winterbottom)

FILED UNDER:
We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/
Comments (1)
jvaishnav47 wrote:
People of India do not mind price hike of diesel since they are aware
international price of crude oil has increased.
Similarly what is appeal of people of India that Govt must control corruption, control leakages.
Central/state govts have incurred debt, have deficit budget, even though govt plots are being sold at throw away price to private parties, so called trusts.
Govt has to give up control from public sector undertakings which were
not viable & shall not be viable.
Got is requested to concentrate more on bringing back unaccounted money lying in foreign Banks, recover from nabbed on charges of corruption/scams

Jan 09, 2013 8:56am IST  --  Report as abuse
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Market Eye

REUTERS SHOWCASE

HSBC PMI

HSBC PMI

Factory activity expands at slower clip in August.  Full Article 

Modi in Japan

Modi in Japan

Japan aims to double India investment in 5 years - Nikkei  Full Article 

Market Outlook

Market Outlook

Indian shares headed for correction, but outlook strong - BofA Merrill.  Full Article 

India Infrastructure

India Infrastructure

RBI rule handicaps India's infrastructure hopes  Full Article 

Book Talk

Book Talk

Reema Abbasi and a glimpse of Pakistan’s Hindu past  Full Article 

China Economy

China Economy

Retreat in China's PMIs heightens calls for policy easing.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage