[jp1]

As per TOI, BPCL is starting fuel rationing. The article says

"Vehicle owners can no longer be sure that petrol or diesel will be available on demand. Beginning Tuesday, Bharat Petroleum Corporation Limited has put its petrol pumps across the country on a "rationed" supply. "

Here is the link

BPCL starts rationing fuel supplies-India Business-Business-The Times of India

[tsk1979]

If the govt does not increase prices, IOC and HP will have to do the same.
Hopefully with elections over, sense will prevail soon.

[GTO]

Look at it as temporary blackmail until prices are increased.

[Sankar]

So when does this come into effect?

[vipul_singh]

Considering that the government is trying to push growth and curtail inflation at the same time, I hope that this time they would neither allow rationing, nor increase fuel prices. Instead, they may finance the oil company losses with taxes that they collect.

[esteem_lover]

This is also one way of telling the public that price increase is necessary.

[ankit.jhamb]

i think it is not a good step.the demand will keep on increasing,how can they expect the sales to be same as last yr.

we should see some BP pumps shutting down.

but what is the solution?they cant keep increasing the price again and again.

[ECM]

Originally Posted by vipul_singh

Considering that the government is trying to push growth and curtail inflation at the same time, I hope that this time they would neither allow rationing, nor increase fuel prices. Instead, they may finance the oil company losses with taxes that they collect.

Govt is making some basic mistakes,if direct/indirect tax collections are up than why govt not slashing import duties on Crude which is the highest in the world!
This question raised many times but sorry to say it has not been listened by finance ministry till today.If they cut duties everything will be fine and oil marketing compaies will have a big relief,its not each time they hike fuel prices,better they apply their mind on the basics or "to do" list.

[androdev]

not to forget the potential 'black' market..

[ravikn]

Today I saw atleast 3 petrol pumps closed without petrol/diesel on the way to office in Bangalore. Looks like IOC is the major struggler among all.

[jp1]

Rationing is a reality, IBN Live reports from Mumbai

"According to sources the dealers in Mumbai have confirmed that the supply rationing has been introduced from Tuesday. It seems like the BPCL has adopted the drastic system because of a severe cash crunch for buying oil products."

Full article

Crude oil prices soar, BPCL starts fuel rationing

[esteem_lover]

Glad I got my tank filled at Pondicherry on tuesday. Petrol costs Rs.43.61 in Pondy.

[theMAG]

This was bound to happen. There cannot be an infinite spiralling of costs without drastic action - especially with the losses these petro majors are incurring.

[leadf00t]

Rationing of Fuel.

I can’t believe it. It’s high time that the government chalk out a plan to make the fuel prices in line with the international prices. I mean yes that means taking prices to about 100Rs a liter but that’s the way the prices are in reality. There will be a lot of hue and cry and not to talk of inflation. But that is inevitable.

Here in Amsterdam, The Netherlands the price of regular petrol is 1.52 euros that is approx 98 rs per liter.

But because of the subsidy and all other political and bureaucratic "policies" we have managed to keep it around the 55 mark.

But how long can India sustain by accepting losses due to subsidy and due to cheap tricks played by the government to retain their vote banks.

I have one question here?
I assume that the auto LPG is free from subsidy. If the prices of petrol touches say 70 rs will the Auto LPG also increase from say 33 -34 levels to 40 + levels?? Or it will remain in its current price range.

[nitrous]

Originally Posted by mag

This was bound to happen. There cannot be an infinite spiralling of costs without drastic action - especially with the losses these petro majors are incurring.

When these oil giants were making tons of crores of profits, were they giving us a discount on fuel?
No!
So, why do we have to pay "premium" when they're suddenly incurring losses?

The Govt. makes a hell a lot of tax money from petrol/diesel. A small reduction in fuel duties/taxes would lead to an income reduction by a few hundred crores for the govt.