CNG price in the national capital and adjoining cities on Tuesday was hiked by Rs 0.50 per kg, while an imminent increase in petrol and diesel price has been put on wait-and-watch mode for more clarity on global oil prices.
CNG price in NCT of Delhi has been increased to Rs 57.51 per kg from Rs 56.51, according to the information posted on the website of Indraprastha Gas Ltd—the firm which retails CNG and piped cooking gas in the national capital.
Apart from Delhi, CNG will be Re 1 per kg more expensive in Noida, Greater Noida, and Ghaziabad. From Tuesday, it will cost Rs 59.58 per kg. Rates differ from state to state depending on the incidence of local taxes. There is no rate change in Mumbai, where CNG costs Rs 66 per kg.
IGL has not changed the price of piped cooking gas supplied to household kitchens.
Are Petrol, Diesel Next?
Petrol and diesel prices are likely to be hiked this week as oil companies prepare to pare losses accumulated from keeping rates steady for over four months in the run-up to assembly elections in five states, including Uttar Pradesh, despite international oil prices jumping to a 13-year high of $140 per barrel.
The imminent increase in petrol and diesel prices has been put on wait-and-watch mode for more clarity on global oil prices. “We are watching the situation closely. We need to see if the current spike in international oil prices is a temporary phenomenon or is it here to stay,” a senior executive with one of the three retailers told PTI.
Commenting on a decision on the rise in petrol, diesel prices, Rameswar Teli, MoS, Petroleum, and Natural Gas, said: Petroleum Ministry with oil companies decide the rate of oil, it’s yet to happen. People are aware that oil prices are increasing amid the ongoing war. As & when the meeting takes place you (people) will be informed about the prices.”
The Crude Effect
Crude oil prices approached their record high levels on Monday over fears of a ban on Russian oil and delay in the Iran nuclear deal. During its early trade on Monday, Brent crude oil hit a high of $139.13 per barrel. The all-time high of Brent crue was recorded in July 2008 at $147.50 per barrel.
Prices have, however, declined after touching multi-year high levels. Around 7.10 p.m., the May contract of Brent futures on the Intercontinental Exchange (ICE) was at $121.37, higher by 2.76 per cent from its previous close.
The spiraling oil prices come as a cause of concern for India as the country imports 85 per cent of its oil demand. The incessant rise in global crude prices has lifted the Indian energy basket, comprising of Oman, Dubai and Brent crude. It was last recorded at $111.61 per barrel on March 4, according to data from the Petroleum Planning & Analysis Cell of the Ministry of Petroleum and Natural Gas. However, market experts believe, as the elections on Monday, retail prices of petrol and diesel will sharply increase going ahead.
Read all the Latest News, Breaking News and Assembly Elections Live Updates here.