EGoM meet to deregulate prices of fuel
Ever since the rise in prices of gas, the fuel prices seem like the next bullet to bite by the government. A meet is to be held today to discuss the details with the empowered group of ministers that is headed by Pranab Mukherjee, the finance minister. On the agenda would be significant discussions like the low cost of kerosene, the sale of LPG that is bringing losses on revenues and mainly freeing fel and diesel prices that are controlled by the government.
The UPA government was all ready to set the regime of free fuel pricing so that losses would be cut down in companies that involve oil marketing. Reports said that Murli Dora, the minister of natural gas and union petroleum met the finance minister, Pranab Mukherjee to discuss the price hikes and also other vital issues on Sunday.
Parikh committee report's author, Kirit Parikh stays optimistic that the EGoM would somehow soften the control of the government over the prices of oil and fuel in today's meet. "If they free the market price of petrol and diesel-that would be a significant."he said.
ONGC's RS Sharma is also very optimistic that a good decision would be taken in the meet today. The meeting of EGoM is said to be scheduled on the 7th of June with consideration to the report by the Kirit Parikh committee that says freeing the diesel and petrol prices from the control of the government.
The decision made for free pricing of diesel and petrol implies that the prices of both would go up at least by Rs 3.50 per litre.