NEW DELHI: The Government on Sept.15, increased the prices of all petroleum products, except kerosene for domestic use. The increase works out to about $.82% for a liter of petrol in Delhi and 21.85% for LPG cylinder and 11.09% for a liter of high speed diesel. In the case of certain other items, the increase is more and on an average, it works out to about 18%,
The Government justified the hike on the plea that current prices of petroleum products do not recover the full costs of operation involving exploration, production, processing and marketing. Another reason cited by the Government is that it had been keeping low the prices of kerosene, LPG for domestic use and naphtha for fertilizer. The hike comes at a time when the international prices of crude and petroleum products are on the down turn. Under the revised prices, petrol will cost Rs 15.91 a liter in Delhi, Rs 16.59 in Calcutta, Rs 17.91 in Bombay and Rs 18.38 in Madras. High Speed Diesel will cost Rs6.11 alter in Delhi, Rs 6.43 in Calcutta, Rs 6,88 in Bombay and Rs 6.91 in Madras. The revised price of LPG for domestic use is Rs $2.75 for a cylinder in Delhi, Rs 93.80 in Calcutta, Rs 81.55 in Bombay and Rs 86.60 in Madras.
The last major hike in the prices of petroleum products was on July 24,1991. Prices of petrol and LPG were then hiked by about 20%. This was followed by a minor increase in their prices when the duty payable to state governments was passed on to the consumers.
The hike is steeper in the case of kerosene for non-domestic use, naphtha for non-fertilizer and non-domestic LPG.
Article extracted from this publication >> September 25, 1992
