No fuel price hike till committee submits report: Deora
February 1st, 2010 - 3:23 pm ICT by IANS
New Delhi, Feb 1 (IANS) Petroleum Minister Murli Deora Monday indicated that transport fuel prices will not increase till the Kirat Parikh committee submits its report.
The Kirat Parikh committee was constituted for making recommendations to the government on carrying out reforms in the oil sector, including the pricing mechanism for transport fuels. The committee’s report is long overdue.
“We want to see that the prices are not increased right now as it will have a cascading effect on other sectors,” Deora told reporters here.
The minister also added that he will be meeting finance minister Pranab Mukherjee Tuesday regarding compensation for losses suffered by the oil marketing companies (OMC) — Indian Oil, Bharat Petroleum and Hindustan Petroleum — who have been selling fuel at a subsidised rate.
The total losses suffered by oil marketing companies this fiscal is around Rs.43,000 crore.
The finance ministry has so far only agreed to release Rs.12,000 crore in cash while the upstream energy companies Oil and Natural Gas Corp and OIL have also pitched in with some funds.
The petroleum ministry is trying to persuade the finance ministry to absorb the entire losses.
Petroleum Secretary S. Sundareshan, who assumed charge Sunday, said one of his priorities would be that OMC’s do not suffer on account of the under-recoveries.
At current global prices, the three public sector companies are losing Rs.299 per cooking gas cylinder, Rs.17.23 per litre of kerosene, Rs.3.06 per litre of petrol and Rs.1.56 per litre of diesel.
- Deora to meet Pranab over fuel price determination - Feb 02, 2010
- May consider reduction of diesel subsidy : Reddy - Feb 15, 2012
- No fuel hike now, will ask more money for oil firms: Deora (Lead) - Feb 01, 2010
- Oil marketers to incur loss of Rs.121,000 crore in current fiscal - Oct 10, 2011
- Ministerial panel to decide on diesel price hike next week (Lead) - Dec 15, 2010
- No government role in petrol price hike: Pranab - Nov 05, 2011
- Forced to hike petrol prices, say government, oil firms - Nov 04, 2011
- EXpert group's report on fuel pricing by month-end - Jan 20, 2010
- Rs.64,900 crore under-recovery in 15 days for oil marketing firms - Nov 16, 2011
- Oil companies to bear Rs.121,571 crore under-recoveries: Reddy - Oct 19, 2011
- No decision yet on Indian Oil Corporation's public offer - Dec 25, 2010
- Oil firms may be given Rs.12,000 crore compensation - Jan 15, 2010
- No alternative to petrol price hike: Deora - Jan 17, 2011
- Petrol, diesel prices to increase from midnight (Second Lead) - Feb 26, 2010
- Government decontrols petrol; hikes diesel, kerosene, LPG (Lead) - Jun 25, 2010
Tags: bharat petroleum, energy companies, finance minister, finance ministry, fuel price hike, fuel prices, gas cylinder, global prices, hindustan petroleum, indian oil, kirat, marketing companies, murli deora, oil sector, parikh, petroleum ministry, pranab mukherjee, public sector companies, subsidised rate, transport fuels