Jaipal Reddy hints at hike in petrol prices

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New Delhi: Petroleum and Natural Gas Minister Jaipal Reddy has hinted at a hike in petrol prices. He said petrol prices needed to be relooked at. "Prices of all petroleum prices need to be looked at again. However, we are living in a real world, so for those decisions I will have to go to the group of empowered ministers. I can't say anything without meeting the ministers," Reddy said.

He also said that the Petroleum Ministry will independently deal with petrol prices. "Petrol prices will be dealt with independently by our ministry. Before we instruct the oil companies, we have to take all matters into consideration," he said.

On regulation of petrol, Reddy said, "We are not contemplating regulation of petrol. Petrol continues to be deregulated, there is some kind of discontinuation of deregulation but we will have to go back to deregulation."

He also added that India will continue to import oil from Iran. "Our companies need oil from Iran and we will continue to import oil from the country," Reddy said.

Since Januray 2011 petrol prices have been increased five times. In January 2011 the price of petrol was increased by Rs 2.5 per litre and then in May 2011 there was another steep hike of Rs 5 per litre. The next time the price was increased was June 2011 when there was a minor increase of Rs 0.33 per litre.

In September and November 2011, the prices were increased again by Rs 3.14 per litre and Rs 1.8 per litre respectively.