Petrol Price Hike Pushed for a Few Days

We have constantly been reporting about petrol prices in India and day before we brought to you the news regarding an immediate Rs. 5 price hike. Much to everybody's relief, the latest on this is that this price hike has been put on hold, as the Oil Minister, Jaipal Reddy confirmed. This hike in prices is due to the pressure of the State-run oil companies who are requesting for an increase in diesel, LPG, kerosene and petrol prices since they are incurring a significant loss. 

Mr. Reddy also commented that the fuel pricing was a classic case of “Politics defeating economics”. As he already has moved a note for consideration, the decision is likely to be taken by the cabinet during its meeting sometime next week. Like already mentioned, the oil companies are losing nearly Rs. 2,00,000 crore an therefore steps are likely to be taken to reduce this deficit as our Oil Minister said some difficult and painful decisions have to be taken.

For the time being, it’s a sigh of relief for the Indian common man for a few days at least, but for how long it lasts, we’ll soon find out. Here is one, hoping for the best…