Indian petrol prices may rise by Rs 0.65 from tomorrow

NEW DELHI, Dec 14 (Business Standard): Petrol prices may be hiked by Rs 0.65 per litre this week if state-owned oil firms manage to get political approval for the move. While a fall in the rupee to an all-time low of Rs 53.75 per US dollar has resulted in an increase in the cost of oil imports, international rates of gasoline-against which domestic petrol prices are benchmarked-have also increased, a top source at a state-run oil firm has said. "The under-recovery on petrol is Rs 0.55-0.56 per litre. After adding local sales tax, the desired increase in Delhi comes to Rs 0.65-0.66 a litre," he said, adding that the oil companies will review prices tomorrow and any change will be effective from December 16. State-owned oil firms have cut petrol prices on two occasions in the past one month after international oil rates eased.