Fuel prices hiked in India again

The oil companies have hiked the price of petrol by 70 paise and diesel by 50 paise with effect from Thursday. The hike in the price of crude in the international market caused the hike in the fuel prices in India. The depreciation in Rupees against US dollar was also another reason behind hike in the fuel prices in India.

The petrol and diesel prices were hiked around six times in last six months and thanks to the government effort which deregulated the petrol and diesel prices leaving companies to adjust price according to market conditions.

Customers need to pay more the petrol and diesel from Thursday and that would sure going to affect their household budget. The hike in the diesel price would have cascading effect on the other goods and services; those are being largely depending on transportation.

The energy (petrol and diesel) is now one of the essential goods and services in the country and become basic need for the people unlike earlier it was tagged as luxurious goods.

There should be hike in the prices as per the international market rate but the interest customers should also be taken care of. Few months back the government had slashed the price of petrol and diesel price by huge margin.

The price of petrol was increased by around Rs.8 since last three months in the country. It is noteworthy that the government slashed the price by Rs.5. So the hike is clearly evident that the huge cut once the customers witnessed.

On the contrary the government should normalize or cut the tax on the petrol and diesel to give some relief to the citizens in the country.

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Petrol, Diesel Price to Go Up from June 1

The price of petrol and diesel would go up by Rs.1 and 0.45 respectively from June 1, according to media reports. The state run oil companies have been reviewing the price every fortnightly. Recently the devaluation of rupees against the US dollar could be the major reason behind the hike in the prices.

Since the petrol and diesel prices were deregulated, the price of these goods in the domestic market has been changing in compliance with the international crude price. Due to the high value of dollar against Indian rupees, the crude price becomes dearer for Indian oil firms.

In order to reduce the loss due to the devaluation of rupees, the oil firms are bound to raise the price and the direct burden would be on the consumers those are the end buyers at retail rate.

On the flip side, the price of petrol and diesel were cut couple of months ago due to the decrease in the crude price at the international market. However, the consumers would be need to pay more for the petrol and diesel from June.

And the prices may go down again if Indian rupees become stronger in the currency market.

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Petrol price slashed by Rs.3

The petrol price has been slashed by around Rs.3 across India on Tuesday by the state-run retailers. This is the highest cut in the petrol price since 2008. Due to the fall in the crude price in the international markets, the price of petrol in India was down.

Since the deregulation of the petrol and diesel in India, the prices are being fluctuated with the international crude prices. The cut the petrol price would give some relief to the consumers, since they had paid high petrol price last year because there was steep rise in the petrol price.

The strengthening rupees in the currency market have helped to bring down the petrol price in India. The price of petrol in Bhubaneswar is at around Rs62.40 per litre after the fall in the petrol price.

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Rail Budget: Railways May Announce ‘Smart Surcharges’

The railways have no other way but to resort to levying ‘smart surcharge’ on the tickets, to cover up the loss of Rs. 3,300 crore because of the recent hike in the diesel prices. Railways used to pay Rs. 12,500 crore annually for diesel bills; this was before the hike in the diesel prices. Now, they will have to pay an additional Rs. 3,300 crores.

The rail ministry last month announced a hike for all classes, with an intention to recover Rs. 6,500 crores. But within some days, diesel prices were increased and this slashed nearly half of the additional revenue generated.

The hike may be in the form of a surcharge on Tatkal tickets, additional reservation charge, or on use of ‘clean toilets’ or clean stations surcharge, or additional reservation charge or hike may be even in the form of, nominal charges added to catering in all trains.

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Diesel Prices will be Hiked every Month

Minister for Oil M. Veerappa Moily, said that diesel prices will be hiked by 40 -50 Paisa per liter every month, till losses on the nation’s most used fuel are completely wiped out.

On January 17th the Government decided to deregulate oil prices from state control, and the powers were given to state owned oil firms. The firms may raise the prices in small measures every month, till all their losses are cleared.

The minister also added that the decision to raise diesel prices in small doses every month will stand until further orders. The decision for retail price hike was coupled with a move to charge bulk consumers like defense, railways and state transport undertakings market price which is almost Rs.10 a liter more than retail selling rate, to save an estimated Rs.12,907 crore in annual subsidy.

The states like Tamil Nadu and Kerala asked their public transport people to refuel at petrol pumps instead of buying diesel from oil firms directly, as they are doing till now. Doing so they will avoid paying the market price mandated for them.

Moily said this point has come to his view and suggested that, instead of doing so, the states should reduce local sales tax and VAT on diesel to cut prices.

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Petrol, diesel pricce to go up again

Petrol price to go up again

Business News: The price of petrol and diesel would go up by 30 paise and 18 paise respectively following hike in the dealer commission by the petroleum ministery on Thursday.

According to media reports, the dealer commission on petrol increased to Rs.1.799 from Rs.1.499 a liter while on diesel to 1.09 a liter from earlier commission of 91 paise.

The hike in the petrol and diesel price would be burden on the people those have been already in panic due the inflation and cap on LPG cylinders.

The dealers commission was revised last time in July 2011.

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How should Common Man Deal with High Oil Prices?

This is kind of issue, that has lead to the fall down of many governments and lead to many protests by the public and various parties, but strangely, no solution could ever be made out. There are various reasons as to why the oil prices keep increasing. But the point is, how a common man, can cope up, with the ever increasing oil prices.

The budget for the fuel, is ever increasing, but not the pay check, so what’s the solution. If possible, the best way to reduce the fuel budget is to depend on the public transport system, all that you need to do is to start a bit early from the home, and take a few minutes’ walk. There are buses operating, and share autos moving in and around all the major places with in the city.

If you have good relations with your team members or co workers or peers, you can team up with someone near to your living place, and go with him or her in their vehicle, you can share their fuel expenses, this way, you will save some money on transport or fuel, they will save their money and both will travel in comfort.

If you are not comfortable with any of the options, and want to use your own vehicle, ok. But you can keep its usage to the minimum, only from office to home and home to office. When going to other places, where there are no, should be in time problems, you can use public transport. Now a days we have got so used to using vehicle that even to go the end our street we use vehicle, we can stop doing this.

For nearby places we can go by walk, good for health and good for pocket. Or you can share your fuel expenses by taking along with you, one of your peers and asking him to share the fuel expenses, this way both are at profit.

Last, but not the least, keep praying to God that some day for the benefit of common man, fuel prices will go down. Not a bad idea. So, keep going Guys.

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Raising Petrol Prices-Government Can Control?

Before talking about, regulation of fuel prices, and other aspects, it is important to know the reason as to why fuel prices go up. The main reasons, the cost of crude oil and the cost of refined petrol and diesel on the world market. Crude oil makes up a significant portion of the cost of fuel. Crude oil is traded in US$ as a commodity on the international market. The market is influenced by a number of factors including global demand, supply, political events and manufacturing capability.

Refineries purchase crude oil on the international market to make it into petrol and diesel. Refined product is also traded on the international market and has its own pricing. As with crude oil the market moves according to global supply and demand. When the price of refined fuel rises, need to pay more, and when it drops, we pay less. In brief, a combination of the cost of crude oil and refined products are a significant factor, in determining, the price we pay for fuel.

The next most influential factor on the price at the pump is the exchange rate, as oil and refined products are sold in US Dollars. International shipping also has an effect on the price. Competition, in a particular market and transport costs are also the other main factors that cause prices to sometimes vary from place to place.

So, all these factors have a very major role to play, in determining the fuel prices, and if Government has any control, it will be only in the subsidy that it is giving. We cannot create crude oil wells, or petrol wells, but there are definitely things we can do on our part. We can definitely use the resources we have carefully, and can take measures to educate people and to create awareness, in the public to use fuel carefully, to the needed extent. And we can start investing on research and development for solutions on alternatives on fuel usage, for the future needs.

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Buying a Car and Maintenance

When thinking of buying a car, concentrate on buying a good quality car, which you will use at least 6to 7 years. When choosing a model it is extremely important to be clear on certain aspects, such as, how frequently you will use car, regularly or occasionally, what kind of usage purpose you have, you want car to travel within the city or place you reside, or you will travel long distances. As per the need you should make a choice, there are various models, which fulfill specific purposes, some are good for long distances, some within the city limits etc.

Another important factor that you should consider while purchasing a car is that on what kind of roads you will drive the car, you can afford buying a Ferrari, or a best sports car, but will it suit the roads you are going to drive? The kinds of roads you drive on, also have a role to play, in the proper maintenance of the car, so, this aspect should not be neglected. Mileage is another important factor to be considered while planning to buy a new car, with the prices rising very frequently, it is also important for you to decide, as to, what kind of fuel operating car you want to choose, petrol, diesel, or gas.

Which one will be more economical and give more mileage, is a fact to be considered. Buying small models is always preferable, they are always cheaper because they are lighter and give better mileage, they are easy to park and move around, so no worries regarding parking places and going around in traffic places. Not only that when you prefer taking small cars, insurance costs are also cheaper.

Once you have bought the car it is important that you take care of its maintenance, it is important to keep your car properly tuned, because a poorly tuned car uses 25% to 33% more fuel each year. Keeping aside what owner’s manual recommends, you should change the oil and oil filter in your car every 3000 miles, this will help in extending the life of the engine, and you save more on repairs and engine wear. Using steel belted radial tires increases mileage up to 10% per year.

You should check you cars air filter monthly, a dirty filter shortens engines life and reduces mileage up to 10%, you can clean filter by removing it, and blowing it with a air hose or you can replace it. It is important to check your tyre pressure regularly as you can loose on mileage. You should get your tires balanced at least once a year. You should check the fluid levels regularly, Low battery water, shortens your battery's life. Also check coolant, automatic transmission fluid, brake and clutch fluids.

These tips help you to make a better decision, to select a car that best suits your needs, and help you maintain your car, for better mileage and great engine life.

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Bharat bandh Today opposing Petrol Price Hike

Bharat bandh called on Thursday, May 31, 2012 by opposition parties opposing the hike in the petrol prices in India by the UPA government. This time the hike of petrol was not matter of one or two but around 7 rupees, the biggest hike in the price petrol in India.

Normal life affected in the country due to the strike, shops were closed and plying of vehicles completely stopped in many parts of the country including Odisha. In the capital of Odisha, Bubaneswar, there has been huger response to the strike. Many roads in the city were blocked and activists stopped commuters to reach their destination.

The strike by opposition parties including the BJP was called opposing the hike in the petrol price recently by the central government. The fall in the value of rupees against dollar in the international market made the crude costlier for the oil companies in importing oil from other countries.  

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Petrol price to go up again?

Business News: There are chances of getting petrol costlier again by the end of March, as the oil companies are reportedly preparing the hike the petrol price to cover the loss due to low price. The budget is over and the elections in the five states, so it has been anticipated that the petrol price might go up after the budget.

The hike in the petrol price is going to hit the pocket and budget of household, which has already been crushed due the hike many times before. However, the government will review the price of diesel, which might seen a hike as well.

The high inflation in the goods and services has been weighting high on the common-men in this country. The union budget gave bit relief by raising the income tax slab to 2 lacs. The once more hike in the petrol price will push the inflation further up in the country.

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No hike in Petrol Price till New Year

Business News: The petrol price in India will not be hiked till the New Year 2012,as State-run oil marketing companies did not increased the price on Friday. It is believed that the devaluation or slide of rupees against dollar is the major cause that postponed the hike in petrol price.

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Petrol Price to go up Again?

Business News: The petrol price in India might go up by 0.65 paise from this Friday following fall in the value of rupees against US Dollar. The costly Dollar made the imports costlier, which has big impact on Indian economy too. The oil companies in India reportedly got the approval from the government for the possible hike in the petrol price.

It will impact the household budget of common man in India, where they have to pay more for the petrol comparing to the other nations in the world. Recently, the oil companies have slashed the price of petrol by around Rs. 2 and now the again hike would be big blow for the people to pay for it.

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Petrol Price to Go Up Again?

There are indications as per the media reports that the price of petrol (Gasoline)may go up once again in India. In a bid to overcome from the financial loss, fuel retailers have been advocating for another hike in the petrol price in India.

Further hike in the fuel prices will directly have impact on the headline inflation and prices of goods and services in India. Earlier, the railway has hiked the freight charges. The inflation in India is near to to the double digit and the further hike would make to double digit.

On the other hand the the apex bank has been trying to check the inflation, made variation in the key interest rates as many as 13 times. And also to attract the fund to banks in form of deposits it too historic step to give best interest to saving accounts.

State run oil companies have been putting pressure to hike the petrol price by Rs. 1.82 per litre to cover their loss. And the burden will be on the Aam Admi, the common man of this country.

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