This is the fourth increase in rates this year. State-owned oil firms, which had been mandated in January to raise prices by up to 50 paisa per litre every month till entire losses on the fuel are wiped out, skipped raising rates in April.
The companies have now made up for the inaction last month , increasing rates by Rs 0.90 per litre, excluding local sales tax or VAT.
Tamil Nadu Chief Minister Jayalalithaa has condemned the hike in diesel price and demanded that it should be rolled back immediately.
In a statement, Ms. Jayalalithaa appealed to the Centre to withdraw the power vested with the oil companies to determine the price.
The Chief Minister said that the price rise would hit the poor and the middle class severely.
--ANI (Posted on 11-05-2013)