Monday, November 14, 2011
By Pranjal Gera
Petrol price revision, this time a slash of Rs 1 is expected by the government
After the hike in petrol prices this year of Rs 1.82 per litre in the first week of November, the Indian government has granted some relief to its inflation ridden people by mulling over a slash of Re 1 per litre in petrol prices.
This relaxation is expected to get implemented on or around 15th of current month. Albeit, the decision is appreciated by everyone, but the question that arises in the mind of a common consumer is that, is it a political attention-grabber to keep its opposition and own alliance at bay? In order to discuss the price reduction the Oil Marketing Companies in the nation will meet this week. Earlier, a drop was observed in the crude oil cost worldwide, which may also have triggered the Oil companies to shrink the petrol prices by 0.80 paisa per litre. If calculated since last year, the petrol costs have mounted by nearly Rs 20 per litre.
Since January 2009 the consumers have only witnessed a soar in prices of petrol. On November 14th, the conference is expected to take place and so is the official statement in support of price decrease.
As per a senior spokesperson of Indian Oil Corporation, the oil prices saw a decent dip globally on November 11th and if the rates remain constant is coming days along with no additional downgrading in rupee, one can expect the petrol prices to drop by 0.80 paisa per litre.
The major reason that leads the Indian oil firms to increase the fuel prices is the deteriorating Indian rupee alongside American dollar. Worldwide the oil rates last month were around US dollar 123 per barrel, which dipped to US dollar 115 per barrel this month.