Petrol, Diesel Prices to Rise

New Delhi: Prices of petrol and diesel will go up marginally after the government decided to increase the commission paid to petrol pump dealers by 30 paise per litre for petrol and by 18 paise a litre for diesel.

Official sources said that the petroleum ministry decided to increase the dealer commission on petrol from 1.499 per litre to 1.799 a litre. The commission on diesel has been hiked from 91 paise to 1.09 a litre.

The price revision would be effective Thursday or from Friday, depending on the ministry's issue of a formal letter to oil companies.

Petrol is currently priced at 67.90 per litre in Delhi and diesel 46.95. After the hike, petrol will cost 68.2 per litre and diesel 47.13 a litre.

At the previous increase in dealer commission in July 2011, it was hiked by 28 paise on petrol and by 15.5 paise on diesel.

Petrol pump dealers have been demanding increase in commission of 67 paise on petrol and 42 paise on diesel, in view of the steep rise in their operating costs like electricity charges.

The government had, with effect from Oct 7, hiked commission paid to LPG distributors by 11.42 per cylinder. Subsidised LPG in Delhi currently costs 410.42 per cylinder, up from 399.