Fuel prices rise to fresh high as Puri takes over as new Oil Minister

Petrol and diesel prices rose to fresh highs on Thursday as Ministry of Petroleum and Natural Gas noticed a change of guard with Hardeep Singh Puri taking over from Dharmendra Pradhan.

Petrol worth was hiked by 35 paise per litre and diesel by 9 paise, in accordance to a worth notification of state-owned gas retailers.

This took gas prices throughout the nation to a fresh high.

Soon after taking cost of the ministry, Mr. Puri mentioned he would touch upon the problem solely after getting a full briefing from the officers.

“Give me some time. I need to be briefed on the issues,” he informed reporters. “It will be very wrong for me to comment on it (fuel prices) when I have just stepped into this building.” Petrol worth, which has already crossed ₹100 in over half of the nation, rose to ₹100.56 a litre in Delhi and ₹106.59 in Mumbai. Diesel charge climbed to ₹89.62 per litre in Delhi and ₹97.18 in Mumbai.

“My formal training is in an area where comments are not offered without full information,” Mr. Puri, a former diplomat, mentioned.

A 1974-batch IFS officer, Mr. Puri comes into the oil ministry at a time when the nation is reeling underneath a surge in gas prices.

Banking on imports

Also, the nation’s reliance on imported oil is rising as home oil and gasoline manufacturing, significantly from fields operated by state-owned oil corporations, continues to be static.

“As we transform towards a $5 trillion economy, energy availability and consumption will be of paramount importance,” Mr. Puri mentioned. “My focus will be on increasing domestic production of crude and natural gas.” Along with Mr. Puri, Minister of State for Petroleum Rameswar Teli additionally took cost.

Outgoing minister Pradhan, who has been given the ministries of human useful resource growth and ability growth within the cupboard rejig on Wednesday, was current when the new ministers took over.

Mr. Teli is the primary Minister of State within the oil ministry in the course of the seven years of the Modi authorities.

Mr. Pradhan, who had been dealing with the ministry for the reason that Modi authorities took workplace in May 2014, was the longest-serving oil minister within the impartial India.

Unlike his predecessors, he didn’t have a deputy.

Emphasis on pure gasoline

“The work of this ministry touches each and every citizen in the country directly or indirectly,” Mr. Puri mentioned. “The energy issues in this ministry have immense potential and several challenges. The need to adapt to changing times, adopt new technologies and to be in consonance with the energy transition taking place across the world, provides a fascinating opportunity.” He mentioned he would work in the direction of the event of a pure gas-based economic system within the nation and enhance the share of pure gasoline within the major vitality mixture of the nation to 15% by 2030 from present 6.2%.

The Indian economic system was a $2.89 trillion economic system earlier than COVID struck and it’s in transition to turning into a $5 trillion economic system.

“I must confess that I am reluctant to go into substantive issues unless I am briefed,” he mentioned.

Mr. Puri mentioned he felt honoured by the belief reposed by Prime Minister Narendra Modi.

“Dharmendra Pradhan ji’s are big shoes to fill,” he mentioned. “In the last seven years, under the able guidance of my predecessor Pradhan, a number of path-breaking reforms and initiatives have been ushered in the sector. I would strive to take them forward, and fulfil the expectations of the Prime Minister, our people and the country.”

Petrol has crossed the ₹100-a-litre mark in Rajasthan, Madhya Pradesh, Maharashtra, Andhra Pradesh, Telangana, Karnataka, Jammu and Kashmir, Odisha, Tamil Nadu, Kerala, Bihar, Punjab, Ladakh, Sikkim and Puducherry.

Diesel, probably the most used gas within the nation, is above that stage in some locations in Rajasthan, Odisha and Madhya Pradesh.

Fuel prices differ from State to Sstate relying on the incidence of native taxes such as value-added tax (VAT) and freight fees.

As a lot as 55% of the retail promoting worth of petrol in Delhi is made up of taxes (₹32.90 a litre excise obligation collected by the central authorities and ₹22.80 VAT levied by the State Government).

Half of the diesel worth is made up of taxes (₹31.80 central excise and ₹13.04 State VAT).

The hike on Thursday is the thirty seventh enhance within the worth of petrol since May 4, when state-owned oil corporations ended a 18-day hiatus in charge revision they noticed throughout Assembly elections in States like West Bengal.

In 37 hikes, the value of petrol has risen by ₹10.16 per litre. During this era, diesel charges have soared by ₹8.89 a litre in 35 cases of the value rise.