New Delhi: The government yesterday announced an average
increase in the retail price of petrol by Rs 2 per litre,
diesel by Re 1 per litre and that of LPG by Rs 20 per
cylinder effective midnight yesterday.
price adjustments the government''s response to the global
price shocks. We are working on a package of measures
to devise a more enduring mechanism," the petroleum
minister, Mani Shankar Aiyar, told newspersons.
global crude price has spurted $7 per barrel in the last
five months during which domestic petrol and diesel prices
have not been raised. In the case of kerosene and LPG,
no hikes have been undertaken in the last two-and-a-half
its part, to help mitigate the losses incurred by the
companies, the Government has agreed to a reduction in
excise duties on products. The excise duty on petrol has
been reduced by four percentage points to 26 per cent;
on diesel by three percentage points to 11 per cent; and
that on LPG from 16 per cent to 8 per cent.
customs duties on crude or petro-products have not been
altered, hence not impinging on the refining margins of