No shortage of petrol, diesel or LPG at retail outlets: Govt officials
New Delhi, May 21
There is no shortage of petrol, diesel or LPG in the country and petrol pumps that are not giving fuel or giving fuel in reduced quantities are being pulled up, according to senior government officials on Thursday.
The government is receiving feedback about petrol pumps across India and full supply of fuels is being maintained to all retail outlets. There has also been no reduction in oil imports coming from Russia in order to ensure adequate crude supplies to the refineries of oil marketing companies, the officials pointed out.
There has been an increase in sales at some pumps because of the higher demand for diesel due to the harvesting season. There has also been a shift in customers from private oil marketing companies, who have started charging higher prices, to retail filling stations belonging to public sector oil companies.
Besides, institutional or commercial sales, which are priced around Rs 20 higher as per actual international price, have also shifted to petrol pumps, they added.
The officials also pointed out that India's increase of Rs 3.91 per litre in the prices of petrol and diesel announced this week, works out to 4.4 per cent, which is the smallest hike of any major economy outside the directly subsidising Gulf producers such as Saudi Arabia, according to figures compiled by GlobalPetrolPrices.com.
An IndianOil official pointed out that the Rs 3.91 increase, which restores only part of the rise of cost in crude, has been undertaken after 76 days of complete absorption of costs by the public sector oil companies. In sharp contrast, the rest of the world has been adjusting price for the rise in crude costs through increases ranging from 10 to 90 per cent in the retail prices of the two fuels.
The pass-through has been steepest in liberalised emerging markets directly exposed to West Asian supply and freight, where governments do not absorb volatility. The Pakistani consumer is paying about 55 per cent more for petrol today than three months ago, the Malaysian about 56 per cent more, and the Emirati consumers about 52 per cent higher prices, the figures show.
In the advanced economies, the increases are smaller in percentage terms but still substantial. American petrol prices, which respond quickly to crude because federal and state excise loadings are modest, have risen by close to 45 per cent and diesel by 48 per cent.
In Europe, where excise duties dampen the swing, the United Kingdom is up about 19 per cent on petrol and 34 per cent on diesel, Germany about 14 per cent on petrol and 20 per cent on diesel, France about 21 per cent and 30 per cent, respectively.
In the case of Japan, South Korea and Singapore, the hike in petrol prices has been held below 20 per cent and the price of diesel has risen considerably faster, with Singapore registering a 65 per cent jump in the price of diesel.
— IANS
Reader Comments
Good to know there's no shortage, but my regular petrol pump did have a queue yesterday due to "supply issues." The private companies hiking prices is making things worse for the common man. Hope the government ensures PSU pumps are fully stocked, especially in rural areas where we depend on diesel for farming.
The comparison with Pakistan and UAE is interesting, but we should benchmark against advanced economies like Japan or South Korea, not countries with different economic realities. Yes, the hike is smaller percentage-wise, but our average income is also much lower. Every rupee counts for a family budget. 😕
As someone who works in logistics, diesel price fluctuations directly impact the cost of goods. The government should consider a more dynamic pricing formula rather than sudden hikes after months of freezing. However, kudos for maintaining Russian imports despite geopolitical pressures - that's smart diplomacy. 🚛
It's reassuring that there's no shortage, but my LPG cylinder delivery was delayed by two days last week. The officials should check ground reality, not just statistics. Also, the shift of commercial sales to retail pumps explains the queues but creates inconvenience for regular customers like us.
The article mentions the hike is only 4.4% compared to other countries, but we've seen frequent adjustments throughout the year. The cumulative effect is huge for the middle class. The government should push for electric vehicles and renewable energy to reduce our dependence on volatile global oil prices. 🇮🇳⚡
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