Putting to rest all speculation, the central government on Monday said there will be no immediate hike in the prices of diesel, cooking gas (LPG) and kerosene.
"We are not considering a hike in the prices of diesel, domestic LPG and kerosene," petroleum minister S Jaipal Reddy told reporters after a meeting called by finance minister Pranab Mukherjee to discuss the impact of fuel price hike on inflation.
"It is out of question right now," said Reddy.
Chief economic adviser Kaushik Basu was also present at the meeting of the inter-ministerial group (IMG) on inflation.
Reddy said no dates have yet been fixed for convening a meeting of a ministerial panel to decide on revising the rates of diesel, LPG and kerosene.
"It was only a meeting of the inter-ministerial group to look at the question of inflation and I was requested to come and offer my insights before they finalise their group recommendations," said Reddy.
The Empowered Group of Ministers (EGoM) on fuel prices, headed by Mukherjee, hasn't met since June last year even though depreciation in the rupee and rise in global crude oil prices have raised the cost of imports.
"I focused on the price of diesel and its impact on inflation as a whole," said Reddy.
Meanwhile, Indian Oil Corporation, the biggest oil PSU, said on Monday that it would review the petrol prices on June 1, hinting at a R1.50-to-2 price cut.