After facing flak for a surge in petrol and diesel prices, Union Petroleum Minister Dharmendra Pradhan, on Sunday, 21 May, said the government would soon try to work out a solution. However, he did not spell out the details of the solution.
He noted that the increase in fuel prices was due to the Organisation of Petroleum Exporting Countries (OPEC)’s reduced production of oil and a hike in crude oil price in the international market.
Petrol prices on Sunday touched a record high of Rs 76.24 per litre and diesel climbed to its highest-ever level of Rs 67.57 as the oil PSUs passed on four weeks of relentless rise in international oil prices to consumers.
"It's not in our hand. There is less production of oil in OPEC countries. The government will soon come out with a solution," he told reporters in Bhubaneshwar.
Pradhan also blamed the US pullout from the Iran nuclear deal for the hike in prices, reported NDTV. He said, "The fight between America and Iran is the most effective thing which leads to price hike of crude oil in the International market."
Stressing the need for stable and moderate oil prices, he said the surging fuel prices have negative impact on consumers and the Indian economy.
With global crude prices soaring, the minister has already pressed OPEC kingpin Saudi Arabia to keep prices stable and moderate, saying that a spike in rates would have a negative impact on Indian consumers as well as on the economy.
Pradhan had conveyed India's concerns when Saudi Arabian Minister of Energy, Industry and Mineral Resources Khalid Al-Falih called him recently.
(With inputs from PTI)
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