Union Petroleum and Natural Gas Minister Hardeep Singh Puri on Saturday said there had been no increase in petrol and diesel prices in real terms, asserting that the government had absorbed much of the impact of global crude oil volatility and hinting at a possible reduction in fuel prices if lower-priced crude reaches refiners.
"If we look at the situation in real terms, there has been no increase in petrol and diesel prices in the country," Puri said while addressing a press conference during his visit to Sonbhadra as part of the Centre's campaign marking 12 years of the Narendra Modi government.
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Petroleum Minister Puri on fuel prices
Puri said Prime Minister Narendra Modi had cut central excise duty in November 2021, May 2022 and again recently, with the government bearing a burden of around ₹10 per litre each on petrol and diesel.
Replying to a question on whether domestic fuel prices would be reduced following the decline in international crude oil prices, Puri said, "There are 193 countries in the United Nations and only Japan has seen a lower increase in petroleum prices than India."
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What is the overall increase?
{{/usCountry}}Also Read | Crude oil prices drop 4.7% after US-Iran agreement to end war and reopen Hormuz: Here's what experts say
What is the overall increase?
{{/usCountry}}The petroleum minister said the cumulative increase in petrol and diesel prices had been limited to ₹7.60 and added that compared with prices prevailing during the Russia-Ukraine conflict that began in 2022, "there has actually been no increase."
Referring to tensions surrounding the Strait of Hormuz, Puri said oil marketing companies were incurring losses of about ₹1,000 crore per day, but the government had ensured that consumers were protected from the impact.
"If compared with 2022 prices, the rates are actually lower," he said.
Puri said oil companies were currently holding inventories of crude bought at higher prices and that fuel prices could soften once lower-priced crude reached refineries.
"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.
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Puri on India's economic growth under PM Modi
The minister said India had made unprecedented progress in infrastructure, energy, social security, welfare and self-reliance during the past 12 years under Prime Minister Narendra Modi's leadership.
"Our economy is growing at a very fast pace," he said, adding that India was moving rapidly towards becoming the world's third-largest economy.
Puri said India had been the world's 11th-largest economy when Modi assumed office in 2014 and had since grown into a USD 4-trillion economy.
He said more than 23,000 startups, over nine lakh government jobs through transparent recruitment processes and initiatives such as One District One Product (ODOP) had transformed Uttar Pradesh into a new engine of growth and employment.
"Ayodhya, Kashi and Prayagraj are emerging as world-class spiritual and tourism centres," Puri further said, adding that projects such as the Ram Temple, the Kashi Vishwanath Corridor and infrastructure developed for the Mahakumbh had boosted tourism, local employment and economic activity.
(With inputs from PTI)