[yashcosmos]

http://profit.ndtv.com/news/economy/...om=home-latest

Just came across the same report on NDTV as posted above.

One thing in the report which is annoying is,

However, there would be no effect on gas prices in cities like Mumbai which already get 100 per cent domestic gas, Mr Moily said.

[sgiitk]

I find many customers reluctant to switch to PNG since the LPG cylinders (with subsidy) work out to be cheaper.

[k_nitin_r]

Originally Posted by AbhishekB86

Isn't it funny how many times in the past few months despite all conditions favorable for a reduction, fuel prices have not been reduced?

Like they say, inflation only works upwards. It would take an over supply and lack of demand for prices to go down, and that never really happens for fuel. With no regulation, firms can charge just about anything and people would still be willing to pay the price.

Given the circumstances, it could be a good opportunity for promotional schemes, like the McDonalds 1970s prices promo offer.

[wilful]

A report submitted by Environment Pollution Prevention and Control Authority (presented to the Supreme Court) established a direct linkage between increased pollution levels in Delhi due to more diesel cars on the road and the death of 3000 children.
It has recommended a 30 % cess on the sale of diesel cars.

http://timesofindia.indiatimes.com/h...w/30180391.cms

[nareshov]

@wilful: a few years ago WHO declared diesel particulates as carcinogenic - and here we are buying more of them without diesel particulate filters.

http://scienceblog.cancerresearchuk....we-be-worried/

[sgiitk]

Originally Posted by nareshov

@wilful: a few years ago WHO declared diesel particulates as carcinogenic - and here we are buying more of them without diesel particulate filters.

Our dinosaurs are incapably of manufacturing diesel with a low enough sulphur content. This is why the BS-IV standard gave a higher limit for Diesel sulphur that Euro-IV.

Incidentally, we do have a refiner regularly exporting Euro-V fuels!

[gsurya]

Originally Posted by sgiitk

Our dinosaurs are incapably of manufacturing diesel with a low enough sulphur content. This is why the BS-IV standard gave a higher limit for Diesel sulphur that Euro-IV.

Incidentally, we do have a refiner regularly exporting Euro-V fuels!

New refineries can produce Euro-V diesel. Upgrading all our existing capacity to Euro-V will cost 60k cr. This will further increase prices.

And refiners will only invest if they get full market rate for fuel, not subsidize middle class.


Sent from my iPhone using Team-BHP

[sgiitk]

Originally Posted by gsurya

New refineries can produce Euro-V diesel. Upgrading all our existing capacity to Euro-V will cost 60k cr. This will further increase prices.

And refiners will only invest if they get full market rate for fuel, not subsidize middle class.

The dinosaurs are still having issues with BSIV, esp diesel. Now they are talking of nationwide BS-IV starting with 2015 (or is it 2017) and BS-V in 2015. For God's sake make it nationwide. If need be shut down the dinosaurs of hand them over to the Private Sector.

I agree do not bleed them dry by forcing subsidies on their bottom lines. Of course I always wonder what the accounting jugglery that all oil PSU's report profits! I guess it is import price parity which is used to calculate subsidy losses.

[gsurya]

Originally Posted by sgiitk

The dinosaurs are still having issues with BSIV, esp diesel. Now they are talking of nationwide BS-IV starting with 2015 (or is it 2017) and BS-V in 2015. For God's sake make it nationwide. If need be shut down the dinosaurs of hand them over to the Private Sector.

I agree do not bleed them dry by forcing subsidies on their bottom lines. Of course I always wonder what the accounting jugglery that all oil PSU's report profits! I guess it is import price parity which is used to calculate subsidy losses.

Private sector refineries in India can flourish only when fuel prices are fully decontrolled. Only then will big oil cos will invest here. Our Oil PSUs are one of the better functioning PSUs, despite the subsidies which prevent them from investing / upgrading in a big way.

Politically its taken this long for full fuel decontrol... selling off all Oil PSUs wont happen.

[SR71A]

Originally Posted by gsurya

Private sector refineries in India can flourish only when fuel prices are fully decontrolled. Only then will big oil cos will invest here. Our Oil PSUs are one of the better functioning PSUs, despite the subsidies which prevent them from investing / upgrading in a big way.

Originally Posted by sgiitk

The dinosaurs are still having issues with BSIV, esp diesel. Now they are talking of nationwide BS-IV starting with 2015 (or is it 2017) and BS-V in 2015. For God's sake make it nationwide. If need be shut down the dinosaurs of hand them over to the Private Sector.

I agree do not bleed them dry by forcing subsidies on their bottom lines. Of course I always wonder what the accounting jugglery that all oil PSU's report profits! I guess it is import price parity which is used to calculate subsidy losses.

Originally Posted by sgiitk

Our dinosaurs are incapably of manufacturing diesel with a low enough sulphur content. This is why the BS-IV standard gave a higher limit for Diesel sulphur that Euro-IV.

Incidentally, we do have a refiner regularly exporting Euro-V fuels!

Euro IV and Bharat IV are equivalent standards, both provide for 50 ppm sulphur. Diesel particulates primarily originate due to incomplete combustion of cyclical aromatic hydrocarbons in Diesel, which the particulate filter is supposed to take care, which the esteemed car manufacturers in private sector have effectively blocked. Euro IV Fuel works with Euro IV system, if the vehicles being manufactured are still Euro III, how do we expect only Fuel to do the job.

@ sgiitk. Sir, the oil PSUs are strategic assets of this country. Remember how Bharat Shell and Esso Caltex refused Fuel to Defence forces during 1962 and 65 wars. They are bit slow, but can effectively act as a counterbalance to private sector greed, of which we see umpteen examples in this country. They can provide fuel at par if not better than any private refiner.

[sgiitk]

Now the jokers are talking about full decontrol of Diesel in 24 months and of LPG, Kerosene in 36. Let us see it happen. what will be interesting will be to see changes in Diesel and Kerosene consumption patterns, since a lot of the latter currently goes into the former.

[ravib]

As we are approaching month end, any update on expected/speculated petrol & diesel price revision based on current international crude oil rates?

-Ravi

[lurker]

Yes Yes, 'our' Govt has just hiked Petrol by 60 paise and diesel by 50 paise.

[S_U_N]

Considering elections coming soon, I think the prices will see a sharp decline in March or April. Or am I just dreaming?

The way to reduce price of fuel is by reducing the taxes on it. That way the oil companies do not bleed (do they really?)

[asdon]

What is going to be the max price of diesel at the end? or does Govt plans to increase 50 paise till eternity?