Petrol, Diesel prices to fluctuate everyday from May 1st

- Ashish Gera   13-04-2017

          


Petrol and diesel prices will see a variation on daily basis from 1sy of May as Oil companies are planning to directly link with international crude prices. So you will have to check the prices daily before you plan to get your car refuelled. This will be implemented for trial in 5 cities Pondicherry, Vizag in Andhra Pradesh, Udaipur in Rajasthan, Jamshedpur in Jharkhand and Chandigarh.

"Oil companies will implement it on pilot project in 5 cities. After this, they'll decide what to do with rest of the country," Petroleum minister Dharmendra Pradhan said. Although he did not confirm exact date for the implementation but sources confirmed that it will be implemented from 1st may.

Although government deregulated petrol prices long back in 2010 and for diesel in 2014 which allowed companies to regulate change in price along with change in international crude prices and currency exchange rate. However, state owned companies like Indian Oil Corp, Bharat Petroleum Corp and Hindustan Petroleum Corp. faced interference from the politicians during election times and later to compensate the loss they allowed the companies to charge higher prices even when international crude prices have gone down. This decisions aims at ending such political interference.

This will not affect people as such because daily fluctuation in crude prices does not vary widely but maintaining a record of sales and cash may prove to be a tough work for oil marketing firms as they will have to calculate things on daily basis. Implementation of this may also cause a regular variation in prices of daily consumed food items like fruits, vegetables and cereals.