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Government plans to reduce diesel prices by Rs 2 per litre

September 26, 2014, 04:01 PM IST by Fleme Varkey
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Government plans to reduce diesel prices by Rs 2 per litre

The fuel prices in country are changing at a rate faster than the government in the centre. Now, there will  be another change in the diesel prices and the directive comes the Central government. It’s a reduction in rates. The timing though is suspect as Assembly elections are just around the corner in some states.

Probably, the public will see a simultaneous drop in petrol and diesel prices. Diesel prices may fall about Rs 2 per litre next week, the first rate cut for the fuel since January 2009. Petrol is likely to fall about 50 paise unless there is a change in international prices or the exchange rate in the next few days, government and industry sources said. International diesel rates, the benchmark for pump prices, have fallen this month.

Diesel prices were last hiked on August 31 by 57 paise in line with the January 2013 decision to raise rates in small doses every month to bridge the difference between retail selling price and cost.

However, this move has been touted to be a completely political move to appease people in Haryana and Maharashtra. But at the end it is the public which benefits when the government makes good on its promise.

 
Tags:diesel prices,Fuel prices,fall in diesel prices,petrol prices cut
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