Showing posts with label LPG. Show all posts
Showing posts with label LPG. Show all posts
Valuation of upstream oil cos to improve post hike: Tulsian
Saturday, June 26, 2010
The government today took a bold step towards reform by allowing for the partial de-control of fuel prices. Starting midnight tonight petrol prices will be market linked. That amounts to Rs 3.50 hike per litre of petrol - a 6.7% increase.
Diesel prices will also be de-regulated, but over time. For now they have been hiked by Rs 2 rupees a litre - that's a 5% increase.
The Empowered Group of Ministers also announced that LPG prices will be hiked by Rs 35 per cylinder and kerosene prices are up by Rs 3 per litre. Though both cooking fuel prices will continue to be administered, analysts estimate these price hikes will reduce underrecoveries from Rs 77,000 crore to Rs 53,000 crore.
However, the big question on everyone's minds is when will the government align diesel prices to international market prices? When asked Oil Secretary S Sundareshansaid, “We have not taken a final decision on that. Let's see how things go.”
You are reading excerpts from India Business Hour on CNBC-TV18
Watch the full show >>
RELATED NEWS
In an interview with CNBC-TV18, RS Pandey, Former Oil Secretary and SP Tulsian, sptulsian.com gave their perspective on the fuel price hike.
Below is a verbatim transcript. Also watch the accompanying video.
Q: How have you read the government's position on in principle on agreeing to free up diesel prices eventually?
Pandey: We must complement the Ministry of Petroleum and Natural Gas. It is a very decisive step amidst all kinds of difficulties the petrol prices have been freed, totally deregulated. If you look at what happened sometime back, very recently the administered prices for gas also was revised upwards to USD 4.20. I think these two steps are clear and decisive steps towards reforms in the sector. Therefore it’s a job very well done.
Secondly, it perhaps has not been possible to deregulate diesel prices as of now. But some revision upwards in the diesel prices, kerosene and LPG prices have been affected which will bring down the underrecovery to some extent. Under the circumstances that could be the balance between the consumers requirements and the need for protecting the exchequer etc, and also the needs of the oil marketing
The Empowered Group of Ministers also announced that LPG prices will be hiked by Rs 35 per cylinder and kerosene prices are up by Rs 3 per litre. Though both cooking fuel prices will continue to be administered, analysts estimate these price hikes will reduce underrecoveries from Rs 77,000 crore to Rs 53,000 crore.
This means many of the key recommendations of the Kirit Parikh Committee have been accepted, except for the complete de-regulation of diesel prices.
However, the big question on everyone's minds is when will the government align diesel prices to international market prices? When asked Oil Secretary S Sundareshansaid, “We have not taken a final decision on that. Let's see how things go.”
You are reading excerpts from India Business Hour on CNBC-TV18
Watch the full show >>
RELATED NEWS
Petrol decontrolled: Has enough been done by govt?
Market-driven fuel price to boost private cos: Oil Secy
Oil mkting cos cheer govt's move to free fuel prices
Oil price-hike: cars to cost more by July
Market-driven fuel price to boost private cos: Oil Secy
Oil mkting cos cheer govt's move to free fuel prices
Oil price-hike: cars to cost more by July
On the fuel price hike impacting inflation, the government’s Chief Economic Advisor said that it will push monthly core inflation up by 90 basis points.
In an interview with CNBC-TV18, RS Pandey, Former Oil Secretary and SP Tulsian, sptulsian.com gave their perspective on the fuel price hike.
Below is a verbatim transcript. Also watch the accompanying video.
Q: How have you read the government's position on in principle on agreeing to free up diesel prices eventually?
Pandey: We must complement the Ministry of Petroleum and Natural Gas. It is a very decisive step amidst all kinds of difficulties the petrol prices have been freed, totally deregulated. If you look at what happened sometime back, very recently the administered prices for gas also was revised upwards to USD 4.20. I think these two steps are clear and decisive steps towards reforms in the sector. Therefore it’s a job very well done.
Secondly, it perhaps has not been possible to deregulate diesel prices as of now. But some revision upwards in the diesel prices, kerosene and LPG prices have been affected which will bring down the underrecovery to some extent. Under the circumstances that could be the balance between the consumers requirements and the need for protecting the exchequer etc, and also the needs of the oil marketing
Rice at Rs 100/kg, LPG Rs 1,200 in Manipur
Saturday, May 15, 2010
In Manipur, the continuing monetary blockade by Naga groups seriously affecting key commodity prices compel the inhabitants of the state to take on the avenue.
Manipur is experience an detonation of the prices of rice sold to RS 100 per kg, LPG at Rs 1200 a barrel and petrol at Rs 150 per liter.
The blockade of National Highway-39 from the Naga bodies in reprisal for the Manipur government decision to stop the NSCN-IM Secretary T Muivah visits his familial village in Ukhrul district and also in complaint against two Naga boys in firing by security armed forces deployed to stop Muivah entry Manipur .
In the Manipur capital Imphal is anger clearly. As a countermeasure alongside the blockade, specific women suppliers of Imphal's IMA market to fight back by introducing a counter blockade on the stack districts by stopping the supply of goods from town to these areas.
"Prices of all necessary items going up because of their obstruction, we suffer to the tremendous. In such a situation, it is understandable that we need to block for goods delivered to them," says RK Radhesana, a protestor.
The continued violence is a result of the NSCN-IM's command to integrate the various Naga populated areas in Manipur under a greater Nagaland. This claim is true to the Manipur management.
But on Saturday across community lines, people affected by the situation, took to the streets and made the protest rally.
M Namreilung, a protestor hears Zeliangrong group of people in Manipur says he chains the state government's termination to bar Muivah in Manipur.
"If he had come as a civilian or a Manipuri, he could be allowed. But he comes as a general escritoire of the NSCN-IM and should not be allowed," said Namreilung.
Pacific sees the gap between people and community expand the Home Ministry officials in New Delhi, who had previously asked the Manipur government to give fortification to Muivah. Their requests were quickly rejected by the state administration. Two dead and one week later, people continue to suffer in the state.
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