Fuel Prices Stable Despite Global Crude Volatility: Puri
Union Petroleum and Natural Gas Minister Hardeep Singh Puri on Saturday said petrol and diesel prices in India have effectively remained stable despite fluctuations in global crude oil markets, crediting government interventions and excise duty reductions for shielding consumers from international price shocks.Addressing a press conference during his visit to Sonbhadra as part of the Centre's campaign marking 12 years of the government led by Narendra Modi, Puri said the government had absorbed a significant portion of rising fuel costs rather than passing the burden on to consumers.
"If we look at the situation in real terms, there has been no increase in petrol and diesel prices in the country," Puri said.
The minister noted that the Centre had reduced excise duty on fuel in November 2021, May 2022 and again more recently, resulting in a revenue sacrifice of around Rs 10 per litre on both petrol and diesel.
Responding to questions on the possibility of a reduction in domestic fuel prices amid softer global crude oil rates, Puri said India had managed fuel inflation better than most countries.
"There are 193 countries in the United Nations and only Japan has seen a lower increase in petroleum prices than India," he said.
According to the minister, the cumulative increase in petrol and diesel prices has been restricted to Rs 7.60, despite the disruption caused by the Russia-Ukraine conflict that began in 2022. He argued that, when compared with fuel prices prevailing during that period, there had effectively been no increase.
Puri also referred to tensions around the Strait of Hormuz, a critical global oil shipping route, stating that oil marketing companies were currently incurring losses of around Rs 1,000 crore per day. Despite this, he said, the government had ensured consumers were insulated from the impact.
He indicated that fuel prices could moderate further in the coming weeks as refiners begin processing crude oil purchased at lower international prices.
"At present, companies have stocks of crude oil bought at higher prices. When crude purchased at lower prices reaches them, there is a possibility of a reduction in fuel prices," he said.
Beyond energy issues, Puri highlighted the economic transformation of Sonbhadra, claiming the district had secured the top position in the Government of India's Delta Ranking programme and was rapidly shedding its image as a backward region.
"Sonbhadra is moving out of the identity of backwardness and will soon establish itself as a model district," he said, attributing the progress to coordinated efforts between the Centre and the Uttar Pradesh government.
The minister said India had witnessed significant advances in infrastructure, energy security, welfare programmes and self-reliance over the past 12 years. He added that the country was progressing steadily towards becoming the world's third-largest economy.
Puri noted that India's economy had expanded from being the world's 11th-largest economy in 2014 to a USD 4-trillion economy today.
Highlighting local economic gains, he said Sonbhadra's per capita income had risen from Rs 43,000 in 2018 to approximately Rs 1.2 lakh currently, while acknowledging that further development work remained.
The minister also pointed to the rapid growth of Uttar Pradesh, stating that the state's gross state domestic product had increased from around Rs 13 lakh crore in 2016-17 to nearly Rs 36 lakh crore.
He said the state's development had been driven by more than 23,000 startups, over nine lakh government jobs created through transparent recruitment processes, and initiatives such as the One District One Product (ODOP) programme.
Puri further highlighted the emergence of Ayodhya, Varanasi (Kashi) and Prayagraj as major spiritual and tourism destinations, citing projects such as the Ram Mandir, the Kashi Vishwanath Corridor and infrastructure developed for the Mahakumbh as key drivers of tourism, employment and economic activity.
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