Petrol price hiked by Rs 5, diesel by Rs 3; LPG to cost Rs 50 more

New Delhi, June 04: The Central government on Wednesday announced a steep hike in domestic fuel prices, effective midnight tonight. The price of petrol has been hiked by Rs 5 per litre, while the price of diesel has gone up by Rs 3. The domestic LPG will now cost Rs 50 more per cylinder. The price of kerosene oil, meanwhile, has been left untouched. The announcement with regard to the revision of fuel prices was made by Petroleum Minister Murli Deora at a press conference.

Earlier in the day, the Cabinet Committee on Parliamentary Affairs met to discuss the surging global oil prices and approved the hike in domestic fuel prices.

Prime Minister Manmohan Singh will address the nation at 8:30 pm tonight to explain why his government has raised the fuel prices. The Left parties, meanwhile, have announced week-long nationwide protests against the hike beginning tomorrow.

Speaking at the press conference, the Revenue Secretary said that there will be no rationing of LPG cylinders as reported in a section of the media. Instead, the government will look to streamline LPG production and distribution, he said.

The official further informed that customs duty on crude oil imports has been cut from 5% to nil. The government has also reduced customs duty on petrol and diesel from the existing 7.5% to 2.5%, while the same has been cut from 10% to 5% for all other petroleum products. Further, excise duty on petrol and diesel has been slashed by Rs 1 per litre.

source : www.zeenews.com