Misnomer to campaign that fuel prices are at all-time high: Dharmendra Pradhan

Petroleum Minister Dharmendra Prhan on Wednesday said petrol and diesel prices are governed by an international price mechanism and it was a mismer to campaign in such a way that fuel prices are at an all-time high.

"In last 300 days, re have been around 60 days of increase in price (and) in around 7 days in petrol and 21 days in diesel we have decreased price. And for almost 250 days we have t increased or decreased prices... So, it's a mismer to campaign in that way that it is all-time high," he told Rajya Sabha.

Replying to questions in Rajya Sabha, minister said centre has raised excise duty and states hiked value-ded tax (VAT). He ted that central government has also reduced prices.

Prhan said international crude oil price is an indicator but international product price is benchmark.

"In our country state governments and union government are careful about ir tax collection because everybody has ir own welfare commitment, developmental priorities for that y need some resources from this route... petroleum price tax collection is a proven and substantial collection for state governments, union government," Prhan said.

minister informed House that prices of petrol and diesel have been me market-determined in June 2010 and October 2014, respectively. Since n, Public Sector Oil Marketing Companies (OMCs) have taken appropriate decisions on pricing of petrol and diesel in line with international product prices and or market conditions.

OMCs have t only increased but also decreased prices of petrol and diesel in line with changes in international prices and rupee dollar exchange rate, he said.

With an aim to reduce prices of petrol and diesel and give relief to consumers, Prhan said central government reduced Central Excise duty on petrol and diesel by Rs 2 per litre with effect from October 4, 2017.

central government furr reduced Central Excise duty on petrol and diesel by Rs 1.5 per litre with effect from October 5, 2018 and Public Sector OMCs also reduced Rs 1 per litre to decrease overall price of petrol and diesel.

central government also requested state governments to make a reduction of Rs 2.50 per litre in VAT imposed by m on petrol and diesel, he said, and ded 18 state governments and one union territory h reduced VAT on petrol and diesel.