It doesn't stop at the steep Rs 5 per litre petrol hike. On Sunday, Finance Minister Pranab Mukherjee said the empowered group of ministers will be meeting soon to decide on the pricing of diesel and LPG. CNBC-TV18 sources say that Petroleum Minister Jaipal Reddy is likely to push for a diesel price hike of up to Rs 4 per litre.
The OMCs are currently facing an under-recovery of Rs 14.66/litre. Reddy is also likely to seek a hike LPG prices by up to Rs 25 a cylinder, against the under recovery of Rs 330 per cylinder. The last time the government had hiked the price of diesel, LPG and kerosene was 11 months ago, when international crude prices were hovering. Mukesh Bhutani of BMR, in an exclusive interview with CNBC-TV18 discusses the nuances of another fuel price hike. Bhutani says thatDiscover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
