Prime Minister Narendra Modi is going to hold an important meeting in Delhi today. Due to this, many questions may arise in the minds of people: Are fuel prices going to increase once again in the country? Or is the government preparing to announce a new decision on the policies of ‘work from home’? This is the first time this year that the Council of Ministers is meeting. Amid growing concerns over fuel and electricity supply, the importance of this meeting has increased even more.
City Petrol Price (per litre) Diesel Price (per litre) Delhi Rs 98.64 Rs 91.58 Mumbai Rs 107.59 Rs 94.08 Kolkata Rs 109.70 Rs 96.07 Chennai Rs 104.46 Rs 96.11 Patna Rs 110.02 Rs 96.05 Itanagar Rs 94.33 Rs 83.76 Goa Panaji Rs 100.55 Rs 92.31 Jaipur Rs 109.32 Rs 94.50 Leh 105.88 94.00
Price hike twice in a week
Recently the prices of petrol and diesel have been increased twice. First, an increase of ₹3 per liter was implemented on May 15, followed by an increase of 90 paise on May 19. Due to global tensions and surge in crude oil prices, fuel has become costlier by around ₹3.90 per liter in the country this week.
Will prices increase further?
The continuous rise in prices may provide some relief to OMCs (oil marketing companies), which are facing increasing financial pressure. Experts believe that a further increase in prices may be necessary at this time, as oil marketing companies are struggling to deal with huge losses. In fact, due to the ongoing conflict in the Middle East and possible blockage in the Strait of Hormuz, global crude oil prices remain high. The ‘Strait of Hormuz’ is a narrow 33 kilometer long sea passage that connects the Persian Gulf to the Gulf of Oman. It serves as a transportation route for more than 20 percent of the world’s oil and gas shipments every day. Oil prices have remained above this level for most of the year so far this year, after breaking the crucial $100 per barrel mark in March.