New Delhi: The government is planning to hike petrol and diesel prices by 20 to 30 paise each by 2020-21 in the wake of global crude prices tumbling and the country’s economic slowdown.
The increase in fuel and diesel price will come into effect on October 1 and applies to both petrol and other fuels.
The hike will be in addition to the existing hike of the existing rate of 6 paise to 7 paise for petrol and 5 paise (5-7 paise) to 6 pais (6-7.5 paise).
The government had also planned to hike diesel price by up to 8 paise by 2020.
The government has set up a joint task force headed by petroleum minister Sudhir Desai to coordinate the increase in petrol and petrol-powered vehicles.
He said the government was “looking at the cost of fuel as an option” to reduce the cost to households.
The government has said that it will “continue to look at the costs of fuel.”
Read moreIndia is the world’s biggest producer of petrol and the world leader in diesel.
India’s domestic oil production was estimated at 1.1 million barrels per day (bpd) in June, while the domestic fuel production is estimated at 6.2 million bpd.