The effect of increasing tension between Iran and America in the Middle East is now visible in India also. The prices of Compressed Natural Gas i.e. CNG have been increased for the fourth time in the last two weeks. On Tuesday, May 26, Indraprastha Gas Limited (IGL) increased the price of CNG by Rs 2 per kg. The new rates have come into effect with immediate effect in many cities including Delhi-NCR.
The continuously rising prices have increased the concern of the common people. Especially those people who use CNG vehicles for daily travel are being affected more. This is going to have a direct impact on auto drivers, taxi drivers and private vehicle owners. It is believed that public transport fares may also increase in the coming days.
According to experts, the biggest reason for the continuous increase in the prices of petrol, diesel and CNG is the sharp rise in the prices of crude oil in the international market. After increasing tension between Iran and America, the prices of crude oil have increased rapidly in the global market. While before the war started, crude oil was around $70 per barrel, now its price has crossed $100 per barrel.
This rise in oil prices in the international market has also affected Indian oil companies. India imports a major part of its requirement, so any fluctuation in the global market directly affects domestic prices. Oil companies say that due to continuously rising costs, financial pressure was increasing on them. In such a situation, it became necessary to increase the prices to compensate for the losses.
After the implementation of the new price in Delhi-NCR, drivers will now have to pay more than before. Although there is no official statement from the companies regarding further increase, market experts believe that if the international situation does not improve soon, the prices of petrol, diesel and CNG may increase further in the future.
On the other hand, opposition parties have started targeting the government over rising inflation. He says that the continuous increase in fuel prices is affecting the kitchen and everyday life of the common man. The government argues that this situation has arisen due to global conditions and there is a possibility of relief in prices as soon as the situation becomes normal.
Economic experts say that if Iran-America tension continues for a long time, its impact will not be limited to fuel only. Due to cost of transportation, the prices of food items and other essential goods may also increase. In such a situation, inflation can become a big challenge for the common people in the coming days.