Go Back   Team-BHP > BHP India > The Indian Car Scene


Reply
 
Thread Tools Search this Thread
Old 18th March 2005, 16:49   #1
Senior - BHPian
 
Join Date: Mar 2005
Location: N.A
Posts: 6,789
Thanked: 1,218 Times
Exclamation The Official Fuel Prices Thread

http://newindpress.com/NewsItems.asp...E+W+S&Topic=0&

Friday March 18 2005 14:04 IST

PTI

NEW DELHI: Public sector oil firms want a massive Rs 5 per litre increase in petrol and Rs 4.30 a litre hike in diesel prices from April 1 in step with the steep rise in cost of raw material (crude oil) and new investments made in producing cleaner fuel.

With the basket of crude oil that Indian refiners import, touching an all time high of 51.64 dollars a barrel, Indian Oil Corp, Bharat Petroleum Corp and Hindustan Petroleum Corp have sought a Rs 3.50 per litre increase in petrol and Rs 2.80 a litre hike in diesel prices, a government official said.

Besides, the oil firms also want a Rs 1.50 per litre increase in the two fuel prices commensurate with the investments they had made for producing ultra low sulphur Euro III grade petrol and diesel for 11 major cities and Euro II auto fuel for the rest of the country from April 1.

The oil companies are investing over Rs 40,000 crore in upgrading fuel quality.

IOC, which controls half of the oil market, will loose Rs 250 crore on selling petrol and diesel below the cost in the second fortnight of March.

For the full month, the loss is pegged at Rs 400 crore, the official said. The official said the raise sought by the oil companies was besides the Rs 2.85 a litre increase in petrol and Re 1 per litre hike in diesel prices necessitated by the budget 2005-06 proposal to raise excise duty on the two fuel.

Not passing on the increased incidence of excise duty would result in around Rs 264 crore (about Rs 106 crore on petrol and Rs 158 crore on diesel) loss to them every fortnight.

The budget 2005-06 cut customs duty on petrol and diesel to 10 per cent from 15 per cent but rejigged the excise duty on both products to a mix of ad valorem and specific rates.

Additionally, the cess for road development has been increased by Rs 0.50 per litre to Rs 2.00.

Officials says that the duty changes has left the oil firms poorer with the public sector refineries losing Rs 1,200 crore a year as their duty protection rate got reduced by one per cent with cuts in customs duty on products.

For producing cleaner fuel, IOC is investing over Rs 20,000 crore and its associate refineries another Rs 3600 crore. BPCL and its associate refineries are investing Rs 5,000 crore and HPCL Rs 3,248 crore. Major private player in the field, Reliance Industries is making an investment of Rs 2,160 crore.
Steeroid is offline   Reply With Quote
Old 18th March 2005, 17:26   #2
Team-BHP Support
 
Rtech's Avatar
 
Join Date: Apr 2004
Location: Bombay
Posts: 5,769
Thanked: 177 Times
Default

This is absurd! As it is, we have some of the highest fuel prices in the world (considering percentage of income). Now they want to raise it by Rs.5! We are already paying more than 1$ a litre for petrol.

How come we don't get the benefit when crude prices drop? The oil companies go silent at that time. The last price drop we got was last year, when the price was lowerd by Rs.0.40!!! That was a week after the price was increased by Rs.1.60.
Rtech is offline   Reply With Quote
Old 18th March 2005, 17:27   #3
BHPian
 
vinsanity's Avatar
 
Join Date: Nov 2004
Location: Patna
Posts: 610
Thanked: 2 Times
Default

Faint!!
2 mins later..
Rs 5, oh my god.... Wonder if it continues at this rate, we'l have a lot of lpg kitted rides by the middle class fellas.. Sad that these prices keep rising all the time.. Wish we had oil like the gulf nations....
vinsanity is offline   Reply With Quote
Old 18th March 2005, 17:30   #4
BHPian
 
vinsanity's Avatar
 
Join Date: Nov 2004
Location: Patna
Posts: 610
Thanked: 2 Times
Default

Quote:
The last price drop we got was last year, when the price was lowerd by Rs.0.40!!! That was a week after the price was increased by Rs.1.60.
Guees after people complains, they'l reduce from 5 to 2.50, just to make people happy that the govt has heard the aam janata and reduced the price.. crazy man..
vinsanity is offline   Reply With Quote
Old 18th March 2005, 17:32   #5
Senior - BHPian
 
iceman91's Avatar
 
Join Date: Nov 2004
Location: melbourne/bangalore
Posts: 1,958
Thanked: 21 Times
Default

"a fully modded baleno up for sale"
this is what i will have to put up in the papers vey soon and get myself one of those 65kmpl bikes.
iceman91 is offline   Reply With Quote
Old 18th March 2005, 17:33   #6
BHPian
 
Join Date: Feb 2005
Location: Pune
Posts: 102
Thanked: 0 Times
Default

Quote:
Originally Posted by Rtech
This is absurd! As it is, we have some of the highest fuel prices in the world (considering percentage of income). Now they want to raise it by Rs.5! We are already paying more than 1$ a litre for petrol.

How come we don't get the benefit when crude prices drop? The oil companies go silent at that time. The last price drop we got was last year, when the price was lowerd by Rs.0.40!!! That was a week after the price was increased by Rs.1.60.
Highest prices are not because of Oil companies...but because of heavy taxes and levis Govt put on it...Oil is only cash cow Indian Govt has...

PS: price in europe are around 1.2 euros/lit for petrol that comes out to be around 60 rupees a lit so we are still cheaper I think

Last edited by pingme : 18th March 2005 at 17:35.
pingme is offline   Reply With Quote
Old 18th March 2005, 17:36   #7
Senior - BHPian
 
typeOnegative's Avatar
 
Join Date: Oct 2004
Location: Vikhroli, Mumbai, India
Posts: 1,502
Thanked: 20 Times
Default

Quote:
Originally Posted by pingme
Oil is only cash cow Indian Govt has...

You have forgotten cigarettes and booze. *sigh*
typeOnegative is offline   Reply With Quote
Old 18th March 2005, 17:40   #8
Team-BHP Support
 
Rtech's Avatar
 
Join Date: Apr 2004
Location: Bombay
Posts: 5,769
Thanked: 177 Times
Default

Quote:
PS: price in europe are around 1.2 euros/lit for petrol that comes out to be around 60 rupees a lit so we are still cheaper I think
I meant:
Quote:
(considering percentage of income)
Rs.45/litre is a larger chunk of your monthly income as compared to 1.2Euro's of the average income of countries in the EU.
Rtech is offline   Reply With Quote
Old 18th March 2005, 17:41   #9
Distinguished - BHPian
 
amitoj's Avatar
 
Join Date: Nov 2004
Location: Nashua, NH
Posts: 2,904
Thanked: 1,427 Times
Unhappy

Quote:
Originally Posted by typeOnegative
You have forgotten cigarettes and booze. *sigh*
and state run lotteries.

big time sigh!
Wots the scene of hybrid cars in india like??
amitoj is offline   Reply With Quote
Old 18th March 2005, 17:42   #10
Senior - BHPian
 
typeOnegative's Avatar
 
Join Date: Oct 2004
Location: Vikhroli, Mumbai, India
Posts: 1,502
Thanked: 20 Times
Default

Quote:
Originally Posted by amitoj
and state run lotteries.

big time sigh!
Wots the scene of hybrid cars in india like??

LOL.

I think they should be launched, but the people who really require them amy not be able to afford them in the first place. :(
typeOnegative is offline   Reply With Quote
Old 18th March 2005, 17:46   #11
BHPian
 
Join Date: Feb 2005
Location: Pune
Posts: 102
Thanked: 0 Times
Default

Quote:
Originally Posted by typeOnegative
LOL.

I think they should be launched, but the people who really require them amy not be able to afford them in the first place. :(
Thats even in true in Western Countries....I think TATA will have better days ahead
pingme is offline   Reply With Quote
Old 18th March 2005, 17:48   #12
Senior - BHPian
 
Gordon's Avatar
 
Join Date: Feb 2004
Location: Mumbai
Posts: 2,419
Thanked: 151 Times
Default

Quote:
Wots the scene of hybrid cars in india like??
For all you know once they're launched, they'll increase ELECTRICITY prices tooo.
Gordon is offline   Reply With Quote
Old 18th March 2005, 17:49   #13
BHPian
 
Rock 'n' rollz's Avatar
 
Join Date: Feb 2005
Location: Mumbai
Posts: 277
Thanked: 19 Times
Default

Quote:
Originally Posted by Rtech
I meant:
Rs.45/litre is a larger chunk of your monthly income as compared to 1.2Euro's of the average income of countries in the EU.
Agree whole heartedly!!! I think the price/income ratio is India 4-5 times higher than that of EU countries.
Rock 'n' rollz is offline   Reply With Quote
Old 18th March 2005, 17:55   #14
BANNED
 
vance0712's Avatar
 
Join Date: Jan 2005
Location: mumbai
Posts: 143
Thanked: 0 Times
Question Icu....

I see 3 options ahead of me

a] Reva - electric car .
b] Kawasaki Bajaj Boxer .
c] Take a lift from others .

vance0712 is offline   Reply With Quote
Old 18th March 2005, 17:57   #15
BHPian
 
Join Date: Feb 2005
Location: Pune
Posts: 102
Thanked: 0 Times
Default

Quote:
Originally Posted by Rock 'n' rollz
Agree whole heartedly!!! I think the price/income ratio is India 4-5 times higher than that of EU countries.
but market forces driving prices does not consider our incomes... Europian country also needs to buy a barell for $57 as India...just remember our current prices are still subsidized...imagine when all subsidy will vanish
pingme is offline   Reply With Quote
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search


Similar Threads
Thread Thread Starter Forum Replies Last Post
BMW to drop prices due to increased localisation. EDIT: New prices announced Aditya The Indian Car Scene 38 10th July 2015 21:19
Have official pioneer HU prices fallen? greenhorn In-Car Entertainment 3 11th January 2010 01:36
Hyundai Cut prices- New detailed prices. harry10 The Indian Car Scene 5 9th December 2008 00:45
Are these good prices for Tata\Fiat vehicles? Corporate Offer Prices sahakar The Indian Car Scene 15 8th July 2008 23:03


All times are GMT +5.5. The time now is 14:24.

Copyright 2000 - 2016, Team-BHP.com
Proudly powered by E2E Networks