As the world's third-largest oil importer and consumer, India is running out of options as the relentless surge in international oil prices make it imperative to pass them on to consumers, officials said on Monday. India imports 85 per cent of its crude oil needs and about half of its natural gas requirement. While the imported crude oil is turned into fuels such as petrol and diesel, gas is used as CNG in automobiles and fuel in factories.
'There are occasions when the prices of individual items like food raise inflation; then supply-side measures must be taken.' 'But if there is continued inflation, it means liquidity is aggravating the situation.'
Housing sales mostly declined during the first and the second wave of the coronavirus pandemic but prices did not fall in most of the cities but rather increased in some cities, according to the Economic Survey 2021-22. The pre-Budget document also highlighted that the housing demand recovered after both the waves on the back of pent up demand, low interest rates on home loans and reduction in stamp duty by some states. The survey has analysed the National Housing Bank's data on change in housing transactions in Q1FY21 (first COVID-19 wave) and Q1FY22 (second COVID-19 wave) over the pre-pandemic levels of Q1FY20. It also looked into change in housing prices index during this period.
With rupee falling to new lows, losses on diesel and cooking fuel have widened to their highest levels this year, upsetting the government's subsidy maths.
More than half of the total subsidy provisioning, amounting to 54 per cent, is going towards food subsidy, which is estimated at Rs 184,220 crore for 2019-20 - a 7.5 per cent increase over the revised estimates for 2018-19.
It could become a giant leap towards lasting reform if the experiment in direct benefit transfers for cooking gas subsidies pans out.
Pahal looks to cut down diversion and eliminate duplicate.
Referring to long-pending insurance bill, he said "we are on the verge" of opening the sector a little more.
Petroleum Minister Mani Shankar Aiyar on Thursday denied having presented to the Cabinet a proposal for raising LPG and kerosene prices.
Kharadi has eight children -- four sons and as many daughters -- from two wives. The entire family lives in Neechla Thala village, about three kilometres from Kotda tehsil of Udaipur.
The government should end subsidised domestic cooking gas (LPG) for people with income of more than Rs 6 lakh per annum, a Parliamentary Panel has suggested.
After reducing duties on petroleum products, the Centre has now asked the states to follow suit.
Margins for the oil refining and retailing sector have moved off their peaks, and the average integrated margins (refining plus marketing) for oil marketing companies (OMCs) have normalised. The ascent in crude oil prices, combined with static retail prices, has depressed marketing margins for diesel and petrol. However, the fall in marketing margins has been offset by increased gross refining margins (GRMs).
Price of petrol may go up by Rs 4.70 a litre and diesel by Rs 2.30 a litre.
The saving in 2015-16 was about Rs 7,000 crore.
Underrecovery from sensitive petroleum products seen at Rs 1,55,000 cr in current fiscal.
The Union government is likely to cut import duties on diesel, kerosene and cooking gas to cushion the impact of high international crude oil prices on the domestic market.
Notwithstanding the robust turnaround in the financial performance for the June quarter (Q1FY24), stocks of state-run oil marketing companies have been in a downtrend in the last month. The fall comes on a rise in crude oil prices that have surged to a 7-month high of $88 a barrel. A busy political calendar in the months ahead that may see the government keep a lid on auto fuel prices is also a dampener, analysts said. Shares of Hindustan Petroleum (HPCL), Bharat Petroleum (BPCL) and Indian Oil (IOC) have shed 9-11 per cent since their respective earnings announcement between July 26 to August 4.
With assembly polls in four crucial states in mind, the government has decided not to increase prices of cooking gas and kerosene for a year.
Congress general secretary Bhanwar Jitendra Singh on Tuesday said there is no truth in the speculation of senior party leader Kamal Nath joining the Bharatiya Janata Party and claimed such talks were a creation of the media and the saffron party.
Prime Minister Manmohan Singh and UPA chairperson Sonia Gandhi discussed the Rs 225,040 crore (Rs 2250.40 billion) revenue loss oil PSUs face without raising price of petrol, diesel, LPG and kerosene and duty cuts this fiscal on three occasions but failed to give a clear verdict.
"The figure of $126 (256 minus 130) per barrel as conversion cost of refining crude to petroleum product appears to be fictitious and totally absurd, specially in India which is self-sufficient in respect of refining," the CPI-M MP said in the letter.
Cooking gas price was on Saturday hiked by Rs 11.42 per cylinder following government decision to raise commission paid to the dealers.
Targeting Modi over inflation, Priyanka called him a "mehengai" man.
"There is no immediate plan to decontrol diesel or LPG as they have cascading effect (on general prices)," Minister of State for Petroleum and Natural Gas R P N Singh told reporters in New Delhi.
The government on Tuesday ruled out any rollback of last month's increase in prices of petrol, diesel and LPG, and said a policy for pricing of major petroleum products was under review.
Every 10 per cent rise in crude oil price will shave off around 0.2 percentage point (pp) from India's GDP growth and widen the current account by 0.3 per cent, says Nomura.
An increase in petrol, diesel, domestic cooking gas (LPG) and kerosene prices looks "imminent" after the Finance Ministry said it has no money to provide for fuel subsidy.
The expert group was tasked to suggest a methodology for pricing of diesel and cooking fuel.
Maruti Udyog Ltd on Thursday launched an LPG variant of its commercial vehicle Omni Cargo, India's first clean fuel vehicle used for transport applications.
The activist Birinchi Bora drove into the venue of the street play dramatically in a motorcycle with another actor dressed as Goddess Parvati for their play on Saturday which had several Hindutva outfits up in arms demanding their arrest.
Gandhi also raised the issue of rising prices of LPG cylinders and said crores of beneficiaries of the Ujjawala scheme are not able to afford a refill.
The rising goods and services tax (GST) and personal income-tax collections may bolster the Narendra Modi government's ability to announce new schemes or enhance existing ones.
The government has chosen to profiteer off people's misery and suffering, Gandhi said.
The latest round of petrol and diesel price increase, on Thursday, met with opposition from many corners.
The cabinet committee on economic affairs will meet this evening to decide on the prices of petrol, diesel, LPG and kerosene, petroleum minister Mani Shankar Aiyar said.
