Another rate hike in the petrol prices brought forward by the State owned Oil companies which would be another Rs3 costlier to your pockets. The effective rate gets implemented by midnight today. All the Oil companies including the Indian Oil, Hindustan Petroleun and Bharat Petroleum will now be losing Rs.2.61 due to the rise in the international crude price. The last petrol price hike came on 15th May with the petrol prices at Rs. 63.70 in New Delhi.
After the petrol prices were freed by the government’s control last year the retail rates have not moved in line with the cost of high inflation rates. In the fiscal year the above 3 companies have lost more than Rs.2,450 crores for selling petrol below the actual cost. Leaving petrol on one hand the three companies are already losing out Rs. 263 crores each day with the sell of diesel below the cost price. The same has applied for LPG, Kerosene, and domestic LPG rates.
Ever since September 2009 Rupee has touched its low to Rs.48 per dollar. With every rupee depreciation the revenue loss increases annually by Rs.9,000 crores. The inflation rates are touching highs and the prices of all major commodities are surging. It is to be seen how the sectoral indices react in these cases.
Bell the Bull says: Petrol Prices dearer by Rs.3 and more pushing the prices above Rs.70