Petrol and diesel prices touched new highs on Thursday with both the major petroleum products witnessing a rise for the eleventh consecutive day.
In Delhi, petrol was being sold at Rs 77.47 per litre and diesel at 68.53 per litre. The price of petrol breached the Rs 85-mark in Mumbai to sell at Rs 85.29 per litre. Diesel was at Rs 72.96 per litre in the financial capital. On Tuesday, petrol was at Rs 84.99 per litre in Mumbai. In Delhi, it was Rs 77.17 per litre.
No respite from spiraling petrol, diesel prices as Finance Ministry not in favour for cut in excise duty
With the petrol, diesel prices registering new highs every day, the Government has assured that it is in the process of finalising a long-term solution to the 'crisis' which has affected the common man of the country the most.
The BJP-led government had in June last year junked a 15-year old practice of revising rates every fortnight and introduced daily revisions which worked well except periods immediately preceding an election.
The relentless price increases built pressure on the government for cutting excise duty to give immediate relief to consumers but after a meeting of the Union Cabinet headed by Prime Minister Narendra Modi, Law and IT Minister Ravi Shankar Prasad offered little insight if a reduction in tax was coming.
"(The) issue of frequent hike in fuel price is a matter of debate and concern. The government is involved in this whole process, including the concern (about rise in prices) and also the uncertainty," he told reporters in New Delhi on Wednesday.
"The government is keen that instead of having an ad hoc measure, it may be desirable to have a long-term view which addresses not only the volatility but also takes care of the unnecessary ambiguity arising out of frequent ups and downs. That process is underway," he said.
Nitin Gadkari against cut in fuel price
While the Modi Government is under tremendous pressure to cut the spiralling fuel prices, one of its ministers is against any such move. Union Transport Minister Nitin Gadkari said any move to provide subsidy on petrol, diesel prices may adversely affect the welfare schemes implemented by the Centre.
“This is an unavoidable, economic situation. It is directly linked to the global economy. If we have to sell it (petrol/diesel) cheap, it means we will have to buy it at higher prices and subsidise it here,” Gadkari told The Indian Express.
Watch: Rising fuel prices burning whole in common man's pockets