[Gansan]

Originally Posted by download2live

IOC is losing some 7 rupees and few paise per liter of Diesel.

Diesel prices can never be cross subsidized by Petrol. Not for long. The difference in quantity sold between the two is too much. I wish the diesel nano and Hero diesel bikes hit the roads asap, to put an end to this farce.

[akshay4587]

These days,i have to commute 110kms a day,90kms of which is Highway.
Accent is burning a big hole in pocket everyday.
I think il switch over to Zma for the Commute.

[download2live]

Originally Posted by Gansan

Diesel prices can never be cross subsidized by Petrol. Not for long. The difference in quantity sold between the two is too much. I wish the diesel nano and Hero diesel bikes hit the roads asap, to put an end to this farce.

Yup. its more of a question of "Who will bite the bullet". Congress already has bitten more than it can chew, Commonwealth games, 2G, Onions, inflation.......List is endless.
It will be a political suicide to bring Diesel prices to right levels under current situation.
Guess we will have wait till then next govt change.

[anjan_c2007]

Sad and bad for petrol motor vehicle users!During the pre- global, economic recession prior to 2008, oil prices had touched $147 per barrel. Even then the petrol prices did not cross the Rs 60=00 barrier anywhere in India.And none of the PSU oil companies collapsed.
Now with the crude oil prices just touching something above the $ 90 mark the petrol prices are at Rs 62=00 per litre on an average.
We will get horrified if oil touches $ 147 per barrel again!
The reason for the hike in international oil prices is the recovery of the US economy and increased demand for oil.Apart from this, the real behind the scene trigger is the SPECULATION, that makes the speculators artificially prop up the prices during the trading sessions, purely based on the fact that GRAND OLD Uncle Sam is back on his feet again!

chart source rediffnews.com

Inputs below from rediffnews.
Facing criticism for increasing the retail price of petrol, government-owned Indian Oil Corporation has said the desired increase was actually Rs 3.72 a litre but it chose to "soften the impact on customer" by increasing the price by only Rs 2.50 a litre.It said the company was incurring an "under-realisation of Rs 159 crore per day" on the sales of diesel, cooking gas (LPG) and kerosene.Petrol prices have gone up by about 13 per cent since these were deregulated last June and about 22 per cent in the current financial year.
Based on the current levels in the international oil market, the retail selling prices, inclusive of the tax elements, of diesel, PDS kerosene and LPG should have been higher by Rs 7.65 a litre, Rs 19.60 a litre and Rs 366.28 per 14.2 kg cylinder, respectively, at New Delhi, with corresponding increases across the rest of the country.

[vebmetal]

I don't know if it has been discussed much here, but I hope that despite the pinch we will all feel individually, people do realize that price rise in the end will push the market forces to make auto manufacturers do the necessary R&D in not only improving fuel efficiency, but also foraying in alternate energy vehicles. I for one think it's a shame that electric cars are still not on the scene, except for the laughable Reva. Here's the silver lining - just a thought!

[shankar.balan]

just check this link to see the movement of fuel prices over the last 20 years. got it off my reliance network from their home page.

Petrol price hike: from Rs 8 to Rs 58 in 20 years - Business News - IBNLive

[schitre05]

I paid Rs. 65.17 for a liter for petrol at Thane yesterday. Of all the places in and around Mumbai i fail to understand why Thane city has the most expensive petrol and diesel prices.

[ghodlur]

Originally Posted by schitre05

I paid Rs. 65.17 for a liter for petrol at Thane yesterday. Of all the places in and around Mumbai i fail to understand why Thane city has the most expensive petrol and diesel prices.

Because over and above the Mumbai prices, there is age old Octroi also levied making it the costliest in Maharashtra. God knows when are they going to stop charging the Octroi.

For that reasons these days I refill in Mumbai for my Fiesta.

[jkumar007]

Originally Posted by hummer

I heard Diesel price is also going to be hiked, not sure when & how much.

This was hinted on Jan 16th in CNBC Autocar show as well. They even told Diesel price will come "closer" to Petrol in "few" years!

Unlike Petrol/LPG, Government will not prefer to increase Diesel prices just like that. Our country's economy is based on Diesel. So, they don't play with that too often.

Everyday, millions of trucks are moving around transporting all sorts of goods from manufacturer to consumer. All of them are running on Diesel.
It they stop running due to price hikes, India literally halts.

-JK

[azeemhafiz]

The strategy of price hike in India is impressive.

First impose 60% tax on fuel, and then give a subsidy of 4%. And then claim losses in crores.

Its cheaper to get mugged on the roads of Bangalore, than fill fuel in Bangalore.

[ImranShahnawaz]

IOC, BPCL and HP raised petrol prices by Rs 2.50-2.45 per liter from 16th January.
From mid December to mid January fuel price increased twice. Now in chennai per litre petrol is costing Rs 63+, a daylight loot .

[Newpunter]

Originally Posted by azeemhafiz

The strategy of price hike in India is impressive.

First impose 60% tax on fuel, and then give a subsidy of 4%. And then claim losses in crores.

Exactly. I don't understand why the government cannot reduce the taxes a bit instead of claiming that they are losing money due to rising prices of oil. This is also true of the opposition parties who create a lot of hue and cry when there is an increase in the fuel price. If they were really concerned about the common man, they could have reduced the taxes in the states they are in power. But no, it is easier to take out rallies and give statements to the media .

[shankar.balan]

Bangalore pricing at 65.43 Rs per litre of un leaded Petrol is really tough.
Normal Diesel at Rs 42.23 is manageable

The way Filling Station attendants fill Petrol and Diesel into the vehicles leads to wastage in case one is not watchful.
They allow the tank to overflow and spill over thereby wasting fuel
They pull out the hose earlier than they should, dropping some fuel on the ground and allowing it to drip along the side of the vehicle.
More often than not they are talking and laughing and not concentrating on the task at hand, which is why the above 2 things happen with monotonous regularity.

Apart from this, leaving the vehicle engine running at a long traffic light or traffic jam is another cause. The crowded jam packed roads also cause waste.

It really causes one to despair, this vicious cycle of wastage.
One way or another one's hard earned cash is going up in smoke!

[lurker]

Originally Posted by azeemhafiz

The strategy of price hike in India is impressive.

First impose 60% tax on fuel, and then give a subsidy of 4%. And then claim losses in crores.

Its cheaper to get mugged on the roads of Bangalore, than fill fuel in Bangalore.

I believe it was Murli Deora's parting gift to his 'chaddi-buddy' Mukesh Ambani.

politicsparty.com:World's Best Analysis.Quickest News.Politics.Polls.Governance.Economy.Astro.Strat egic Affairs.Media.

this clip was before the latest price-hike, so with the latest hike, the position of reliance has been much shored up.
Aam Junta can as usual go to hell and stay there.

Morgan Stanley in a report said, “RIL should gain from the recent price hike and the deregulation of petrol prices, as it currently has around 1,500 outlets ready to tap gasoline marketing margins.”

[JustCause]

Just read this article on TOI. An interesting read : Onions, Petrol & Alcohol cost the same.

In under two years, petrol has gone from Premium to Extra Premium & now, only the Elite can afford to say,"Full Tank Please"

No wonder petrol 'customers' are given a Warrior's welcome at my FNP (Friendly Neighborhood Petrol-pump).