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LATEST NEWS UPDATES | Eye on petrol for two prices by Jayanta Roy Chowdhury </title>
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The Centre is exploring the possibility of introducing different petrol prices for two-wheelers and cars in an attempt to combat a perception that it is insensitive to the plight of the common people.
Facing a flurry of protests from allies, Opposition..."/>
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The Centre is exploring the possibility of introducing different petrol prices for two-wheelers and cars in an attempt to combat a perception that it is insensitive to the plight of the common people.
Facing a flurry of protests from allies, Opposition..." />
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<h1 class="cat-box-title">Eye on petrol for two prices by Jayanta Roy Chowdhury</h1>
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Published on</span><span class="text-date"> Nov 7, 2011</span>
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<div style="text-align: justify"><br /></div><div style="text-align: justify">The Centre is exploring the possibility of introducing different petrol prices for two-wheelers and cars in an attempt to combat a perception that it is insensitive to the plight of the common people.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Facing a flurry of protests from allies, Opposition parties and consumer groups against the hike in petrol prices last week, senior cabinet ministers are considering whether differential pricing is possible to insulate users of two-wheelers and three-wheelers from fluctuations linked to market forces.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">“Differential prices for two and three-wheelers could be looked at,” a top cabinet minister told The Telegraph.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">If such a plan survives concerns linked to leaks and makes it to the policy table, two-wheeler users are expected to gain more than users of three-wheelers, which are increasingly switching to gas. Two-wheeler demand has shot up over the past few months.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Petrol prices were raised last week by Rs 1.80 a litre, the 13th time since June last year when oil marketing firms were allowed to price petrol without consulting the government. The cumulative price increase since then has been Rs 17.83 in Calcutta, or over 32 per cent.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The repeated hikes have irked the powerful ally, the Trinamul Congress, which will be sending a delegation to meet the Prime Minister tomorrow to discuss the issue.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">But the latest round of petrol price increases has received the support of some Congress leaders who have contended that oil marketing firms like Indian Oil and Bharat Petroleum needed to raise prices in order to stem the losses in their books.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">“The only problem with differential petroleum prices is possible leak,” the minister added.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">In reply to a question from reporters today, another minister, Salman Khurshid, said there was a “fear” that dual pricing of fuel could create problems in the present system.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The fear is that petrol pumps may sell cheaper petrol to car owners and claim the subsidy. The government is already facing a problem with specially subsidised kerosene meant for the poor, which is being resold as fuel to industries. A kerosene mafia was blamed for the murder of an honest whistle-blower official in Maharashtra.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">However, the government realises that more than just pacifying an angry ally, it needs to deal with the growing disenchantment with the UPA’s inability to tackle the runaway rise in prices across the board. To do that, it has to adopt some measure to cushion the latest blow to the middle class.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The problem with the current petrol price hike in public perception is that global crude oil prices have been fluctuating wildly between $76 and $94 a barrel over the past few weeks; the spikes have been quickly followed by alarming dips. It has led people to believe the oil marketers have failed to pass on the benefit of the price dips to them even though they have passed on the burden every time crude prices have gone up.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">For oil marketing firms, the problem has been compounded by the value of the rupee falling by about 12 per cent since last year. It recently plunged below Rs 50 to the dollar and is currently trading at just above Rs 49 to the dollar.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Indian Oil officials say they have a rule of the thumb: every one rupee rise in the value of the dollar translates into a 90 to 95 paise per litre loss for it based on the current petrol price at the pump.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The government has said the oil firms will lower the price as soon as the rupee’s value appreciates.</div><div style="text-align: justify"><br /></div>
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<br><a href="http://www.telegraphindia.com/1111108/jsp/frontpage/story_14721585.jsp" class="re" target="_blank">The Telegraph, 8 November, 2011, http://www.telegraphindia.com/1111108/jsp/frontpage/story_14721585.jsp</a><div class="clear"></div>
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LATEST NEWS UPDATES | Eye on petrol for two prices by Jayanta Roy Chowdhury </title>
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<h1 class="cat-box-title">Eye on petrol for two prices by Jayanta Roy Chowdhury</h1>
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Published on</span><span class="text-date"> Nov 7, 2011</span>
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<div style="text-align: justify"><br /></div><div style="text-align: justify">The Centre is exploring the possibility of introducing different petrol prices for two-wheelers and cars in an attempt to combat a perception that it is insensitive to the plight of the common people.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Facing a flurry of protests from allies, Opposition parties and consumer groups against the hike in petrol prices last week, senior cabinet ministers are considering whether differential pricing is possible to insulate users of two-wheelers and three-wheelers from fluctuations linked to market forces.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">“Differential prices for two and three-wheelers could be looked at,” a top cabinet minister told The Telegraph.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">If such a plan survives concerns linked to leaks and makes it to the policy table, two-wheeler users are expected to gain more than users of three-wheelers, which are increasingly switching to gas. Two-wheeler demand has shot up over the past few months.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Petrol prices were raised last week by Rs 1.80 a litre, the 13th time since June last year when oil marketing firms were allowed to price petrol without consulting the government. The cumulative price increase since then has been Rs 17.83 in Calcutta, or over 32 per cent.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The repeated hikes have irked the powerful ally, the Trinamul Congress, which will be sending a delegation to meet the Prime Minister tomorrow to discuss the issue.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">But the latest round of petrol price increases has received the support of some Congress leaders who have contended that oil marketing firms like Indian Oil and Bharat Petroleum needed to raise prices in order to stem the losses in their books.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">“The only problem with differential petroleum prices is possible leak,” the minister added.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">In reply to a question from reporters today, another minister, Salman Khurshid, said there was a “fear” that dual pricing of fuel could create problems in the present system.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The fear is that petrol pumps may sell cheaper petrol to car owners and claim the subsidy. The government is already facing a problem with specially subsidised kerosene meant for the poor, which is being resold as fuel to industries. A kerosene mafia was blamed for the murder of an honest whistle-blower official in Maharashtra.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">However, the government realises that more than just pacifying an angry ally, it needs to deal with the growing disenchantment with the UPA’s inability to tackle the runaway rise in prices across the board. To do that, it has to adopt some measure to cushion the latest blow to the middle class.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The problem with the current petrol price hike in public perception is that global crude oil prices have been fluctuating wildly between $76 and $94 a barrel over the past few weeks; the spikes have been quickly followed by alarming dips. It has led people to believe the oil marketers have failed to pass on the benefit of the price dips to them even though they have passed on the burden every time crude prices have gone up.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">For oil marketing firms, the problem has been compounded by the value of the rupee falling by about 12 per cent since last year. It recently plunged below Rs 50 to the dollar and is currently trading at just above Rs 49 to the dollar.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Indian Oil officials say they have a rule of the thumb: every one rupee rise in the value of the dollar translates into a 90 to 95 paise per litre loss for it based on the current petrol price at the pump.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The government has said the oil firms will lower the price as soon as the rupee’s value appreciates.</div><div style="text-align: justify"><br /></div>
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<br><a href="http://www.telegraphindia.com/1111108/jsp/frontpage/story_14721585.jsp" class="re" target="_blank">The Telegraph, 8 November, 2011, http://www.telegraphindia.com/1111108/jsp/frontpage/story_14721585.jsp</a><div class="clear"></div>
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LATEST NEWS UPDATES | Eye on petrol for two prices by Jayanta Roy Chowdhury </title>
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The Centre is exploring the possibility of introducing different petrol prices for two-wheelers and cars in an attempt to combat a perception that it is insensitive to the plight of the common people.
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The Centre is exploring the possibility of introducing different petrol prices for two-wheelers and cars in an attempt to combat a perception that it is insensitive to the plight of the common people.
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<h1 class="cat-box-title">Eye on petrol for two prices by Jayanta Roy Chowdhury</h1>
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Published on</span><span class="text-date"> Nov 7, 2011</span>
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<div style="text-align: justify"><br /></div><div style="text-align: justify">The Centre is exploring the possibility of introducing different petrol prices for two-wheelers and cars in an attempt to combat a perception that it is insensitive to the plight of the common people.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Facing a flurry of protests from allies, Opposition parties and consumer groups against the hike in petrol prices last week, senior cabinet ministers are considering whether differential pricing is possible to insulate users of two-wheelers and three-wheelers from fluctuations linked to market forces.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">“Differential prices for two and three-wheelers could be looked at,” a top cabinet minister told The Telegraph.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">If such a plan survives concerns linked to leaks and makes it to the policy table, two-wheeler users are expected to gain more than users of three-wheelers, which are increasingly switching to gas. Two-wheeler demand has shot up over the past few months.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Petrol prices were raised last week by Rs 1.80 a litre, the 13th time since June last year when oil marketing firms were allowed to price petrol without consulting the government. The cumulative price increase since then has been Rs 17.83 in Calcutta, or over 32 per cent.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The repeated hikes have irked the powerful ally, the Trinamul Congress, which will be sending a delegation to meet the Prime Minister tomorrow to discuss the issue.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">But the latest round of petrol price increases has received the support of some Congress leaders who have contended that oil marketing firms like Indian Oil and Bharat Petroleum needed to raise prices in order to stem the losses in their books.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">“The only problem with differential petroleum prices is possible leak,” the minister added.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">In reply to a question from reporters today, another minister, Salman Khurshid, said there was a “fear” that dual pricing of fuel could create problems in the present system.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The fear is that petrol pumps may sell cheaper petrol to car owners and claim the subsidy. The government is already facing a problem with specially subsidised kerosene meant for the poor, which is being resold as fuel to industries. A kerosene mafia was blamed for the murder of an honest whistle-blower official in Maharashtra.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">However, the government realises that more than just pacifying an angry ally, it needs to deal with the growing disenchantment with the UPA’s inability to tackle the runaway rise in prices across the board. To do that, it has to adopt some measure to cushion the latest blow to the middle class.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The problem with the current petrol price hike in public perception is that global crude oil prices have been fluctuating wildly between $76 and $94 a barrel over the past few weeks; the spikes have been quickly followed by alarming dips. It has led people to believe the oil marketers have failed to pass on the benefit of the price dips to them even though they have passed on the burden every time crude prices have gone up.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">For oil marketing firms, the problem has been compounded by the value of the rupee falling by about 12 per cent since last year. It recently plunged below Rs 50 to the dollar and is currently trading at just above Rs 49 to the dollar.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Indian Oil officials say they have a rule of the thumb: every one rupee rise in the value of the dollar translates into a 90 to 95 paise per litre loss for it based on the current petrol price at the pump.</div><div style="text-align: justify"><br /></div><div style="text-align: justify">The government has said the oil firms will lower the price as soon as the rupee’s value appreciates.</div><div style="text-align: justify"><br /></div>
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<br><a href="http://www.telegraphindia.com/1111108/jsp/frontpage/story_14721585.jsp" class="re" target="_blank">The Telegraph, 8 November, 2011, http://www.telegraphindia.com/1111108/jsp/frontpage/story_14721585.jsp</a><div class="clear"></div>
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LATEST NEWS UPDATES | Eye on petrol for two prices by Jayanta Roy Chowdhury
Eye on petrol for two prices by Jayanta Roy Chowdhury
Published on Nov 7, 2011
Modified on Nov 7, 2011
The Centre is exploring the possibility of introducing different petrol prices for two-wheelers and cars in an attempt to combat a perception that it is insensitive to the plight of the common people.
Facing a flurry of protests from allies, Opposition parties and consumer groups against the hike in petrol prices last week, senior cabinet ministers are considering whether differential pricing is possible to insulate users of two-wheelers and three-wheelers from fluctuations linked to market forces.
“Differential prices for two and three-wheelers could be looked at,” a top cabinet minister told The Telegraph.
If such a plan survives concerns linked to leaks and makes it to the policy table, two-wheeler users are expected to gain more than users of three-wheelers, which are increasingly switching to gas. Two-wheeler demand has shot up over the past few months.
Petrol prices were raised last week by Rs 1.80 a litre, the 13th time since June last year when oil marketing firms were allowed to price petrol without consulting the government. The cumulative price increase since then has been Rs 17.83 in Calcutta, or over 32 per cent.
The repeated hikes have irked the powerful ally, the Trinamul Congress, which will be sending a delegation to meet the Prime Minister tomorrow to discuss the issue.
But the latest round of petrol price increases has received the support of some Congress leaders who have contended that oil marketing firms like Indian Oil and Bharat Petroleum needed to raise prices in order to stem the losses in their books.
“The only problem with differential petroleum prices is possible leak,” the minister added.
In reply to a question from reporters today, another minister, Salman Khurshid, said there was a “fear” that dual pricing of fuel could create problems in the present system.
The fear is that petrol pumps may sell cheaper petrol to car owners and claim the subsidy. The government is already facing a problem with specially subsidised kerosene meant for the poor, which is being resold as fuel to industries. A kerosene mafia was blamed for the murder of an honest whistle-blower official in Maharashtra.
However, the government realises that more than just pacifying an angry ally, it needs to deal with the growing disenchantment with the UPA’s inability to tackle the runaway rise in prices across the board. To do that, it has to adopt some measure to cushion the latest blow to the middle class.
The problem with the current petrol price hike in public perception is that global crude oil prices have been fluctuating wildly between $76 and $94 a barrel over the past few weeks; the spikes have been quickly followed by alarming dips. It has led people to believe the oil marketers have failed to pass on the benefit of the price dips to them even though they have passed on the burden every time crude prices have gone up.
For oil marketing firms, the problem has been compounded by the value of the rupee falling by about 12 per cent since last year. It recently plunged below Rs 50 to the dollar and is currently trading at just above Rs 49 to the dollar.
Indian Oil officials say they have a rule of the thumb: every one rupee rise in the value of the dollar translates into a 90 to 95 paise per litre loss for it based on the current petrol price at the pump.
The government has said the oil firms will lower the price as soon as the rupee’s value appreciates.
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