Petrol and diesel prices will be reduced by upto Rs 10 ?. Finance ministry awaits final nod
Government Slashes Petrol and Diesel Prices Ahead of LS Polls Announcement
Recent indications suggest a significant reduction in fuel prices in India leading up to the 2024 Lok Sabha elections. In a welcome relief for consumers nationwide, the Central government is contemplating a substantial cut in petrol and diesel rates.
Petroleum Ministry and Finance Ministry held discussions recently and submitted options to Prime Minister’s Office regarding this. These two ministries hold discussions every fortnight on fuel prices.
This strategic move is anticipated to precede the scheduled April and May elections next year. The current decrease in international crude oil prices will play a crucial role in this decision. According to a report by various news channel, the Union Finance Ministry is poised to implement this price cut soon, with expectations of a ₹10 reduction in both petrol and diesel prices. This development comes nearly two years after the Central government previously lowered petrol and diesel prices by ₹8 and ₹6, respectively, through adjustments in the Central Excise Policy.
Presently, petrol and diesel prices in Delhi stand at ₹96.71 and ₹89.62, respectively, while exceeding ₹100 in major cities such as Mumbai and Bengaluru.
The surge in petrol and diesel prices beyond the ₹110 mark in various metro cities across India was primarily attributed to market fluctuations caused by the Covid-19 pandemic and the Russia-Ukraine conflict, leading to an increase in crude oil prices. Union Minister for Petroleum and Natural Gas Hardeep Singh Puri attributed the decrease in oil prices in India to the Modi government. He highlighted that while petrol prices rose by 70-80 percent in North American countries, India witnessed a 5 percent drop in rates.
With international crude oil prices ranging from $70 to $80 per barrel, a proposal has been forwarded to the Prime Minister’s Office advocating for a reduction in fuel prices, as reported by News18. The decline in global crude oil prices has resulted in substantial profits for the three major government-run oil companies in India—Indian Oil Corp (IOC), Bharat Petroleum Corp (BPCL), and Hindustan Petroleum Corp (HPCL).
