New Delhi, Sept. 5: Petrol prices are likely to be raised after the current session of Parliament ends on Friday. Prices of diesel and domestic LPG, however, may remain unchanged.
While state-run firms can increase the price of petrol, a de-regulated commodity, by about Rs 3 a litre, the cabinet will also consider the oil ministry’s proposal to hike diesel and LPG rates.
The three PSUs — Indian Oil Corporation, Hindustan Petroleum Corporation Ltd and Bharat Petroleum Corporation Ltd — are losing around Rs 6 per litre of petrol; prices have not been raised since July.
Oil companies revised petrol prices four times this fiscal: a hike of Rs 7.54 a litre on May 24 followed by a partial rollback by Rs 2.02 per litre on June 3 and a reduction of Rs 2.46 a litre on June 29. On July 24, prices were marginally hiked by 70 paise a litre.
The government has not hiked diesel and LPG prices since June last year. Oil firms are losing Rs 19.26 a litre on diesel, Rs 34.34 a litre for kerosene and Rs 347 per LPG cylinder.
The petroleum ministry has approached the cabinet committee on political affairs to consider a hike in fuel prices and has proposed various scenarios for revision, but has not given any specific numbers.
“We have not recommended the amount of increase in rates but have analysed the situation that warrants an immediate price rise,” officials said.