- Fuel price hike has fanned concerns of stoking inflation, which is already above the targeted 6%
- Delhiites are holding the BJP-led central government responsible for the hike in prices
- India relies on overseas purchases to meet about 85 per cent of its oil requirement
Petrol and diesel prices hiked by 80 paise per litre each on Wednesday morning, for the second consecutive day. On Tuesday, the fuel rates saw a hike after a pause of over four months. With the price hike, petrol in Delhi will now cost Rs 97.01 per litre while diesel in the national capital will now cost Rs 88.27.
In Mumbai, with a hike of 85 paise per litre, petrol will now cost Rs 111.67 per litre, while diesel will be sold at Rs 95.85 per litre.
Along with petrol and diesel, cooking gas prices had also gone up on Tuesday. The central government had hiked the prices of petrol and diesel prices by 80 paise a litre each while domestic cooking gas LPG rates were increased by Rs 50 per cylinder.
Meanwhile, the resumption of fuel price hikes has fanned concerns of stoking inflation, which is already above the targeted 6 per cent level. Delhiites are holding the BJP-led central government responsible for the hike in prices.
Slamming the Centre for the rise, many in the national capital have expressed disappointment.
"It is worrying but it was expected as now assembly elections are over and there is an ongoing war in Ukraine. The government only listens to people during elections. Now that the elections are over, it was expected.
"But it will have a ripple effect on everything as food will get expensive and daily commute," Sachin Kasana (31), a resident of Shahdara, said.
"The price increase is no shock, but is definitely disappointing considering how the government sympathised with the public first before elections, and as soon as they are free from there...we are back at higher prices. The price rise would impact everything from our kitchens to our daily commute," Arshdeep Kaur (25), a resident of East of Kailash said.
Asha Verma, a 38-year-old housewife from Patparganj, believes that the fuel prices were increased as the government have no fear of losing any elections.
Verma said the central government promoted LPG telling consumers it is affordable and now the prices are about to touch Rs 1,000-mark.
Vishnu Singh, a resident of the Kailash Colony, flagged the concerns that the prices of fuels will rise further.
"The government is not going to stop now. The prices will be increased further. The poor and middle houses are paying the prices of voting the BJP to power," Singh said.
Both LPG and auto fuel prices had been on a freeze despite the cost of raw material spiralling, first because of demand returning with economies globally - rebounding from the pandemic-induced slowdown, and then due to the Russia-Ukraine crisis.
India relies on overseas purchases to meet about 85 per cent of its oil requirement, making it one of the most vulnerable in Asia to higher oil prices.
The twin blows of oil prices, already up more than 60 per cent this year, and a weakening rupee may hurt the nation's finances, upend a nascent economic recovery and fire up inflation.
(With inputs from agencies)
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