The government on Wednesday hiked petrol and diesel prices by Rs 5 and 3 a litre and that of LPG by Rs 50 a cylinder, while sparing poor man's cooking medium kerosene from any increase.
The Union Cabinet chaired by Prime Minister Manmohan Singh took a slew of measures to offset the surging global oil prices that had put the national oil companies under acute pressure. The increase in prices would be effective from Wednesday midnight, Petroleum Minister Murli Deora said.
The price hike would help oil companies to earn Rs 21,123 crore more.
As part of measures, the government decided to take a burden of Rs 94,601 crore for which it will issue oil bonds to state-run BPCL, HPCL and IOC which were reporting a daily loss of over Rs 720 crore.
In addition, the oil producing PSUs like ONGC would shell out Rs 60,000 crore through discounts to state-owned oil refiners and marketing companies.
Customs duty on petrol and diesel has been cut from 7.5 per cent to 2.5 per cent. Customs duty on crude, however, has been cut from 5 per cent to nil.
Despite all the measures, there would still be a gap of Rs 29,000 crore, Revenue Secretary P V Bhide said while briefing about the decisions taken by the Cabinet.
Meanwhile, the Left has said it will hold week-long nationwide protests against the hike from Thursday.
1 comments:
Do you still use free service like blogspot.com or wordpress.com but
they have less control and less features.
shift to next generation blog service which provide free websites for
your blog at free of cost.
get fully controllable (yourname.com)and more features like
forums,wiki,CMS and email services for your blog and many more free
services.
hundreds reported 300% increase in the blog traffic and revenue
join next generation blogging services at www.hyperwebenable.com
regards
www.hyperwebenable.com
Post a Comment