Ukraine invasion: Oil prices determined by global rates, says Puri

Union Minister for Petroleum and Natural Gas Hardeep Singh Puri on Tuesday said that oil prices domestically are determined by global prices. He also said that there is a war-like situation in one part of the country, which will also be considered by oil companies while revising oil prices.
 
The Minister, who has also served as Civil Aviation Minister, further stated that the Government of India will take decisions in the best interest of our citizens.
 
“Oil prices are determined by global prices. There is a war-like situation in one part of the country. The oil companies will factor that in. We will take decisions in the best interest of our citizens,” Puri was quoted as saying by news agency ANI.

The Union Minister talked about when will there be a movement in petrol and diesel prices. He said, “Please look at the global situation… what’s happening in Ukraine [and] Russia. Oil companies will take a decision.”
 
He further noted that it was “unintelligent” to assume that the rise/fall in fuel prices was being curtailed due to elections and that the Government of India will assure that the country’s energy requirements are met.
 
The minister also took potshots at the opposition, particularly the Congress party, and said, “A young leader keeps saying fill up your tanks…it’s all until elections. On a serious note, when Congress was in power, they deregulated prices of petroleum. We had reduced central excise in November…”

Meanwhile, news agency PTI reported that petrol and diesel prices are likely to be hiked this week as oil companies prepare to pare losses accumulated from keeping rates steady for over four months in the run-up to assembly elections in five states, including UP, despite international oil prices jumping to a 13-year high of $140 per barrel.

Oil prices rose on Tuesday, with Brent surging past $126 a barrel, as fears of formal sanctions against Russian oil and fuel exports spurred concerns about supply availability.

Benchmark Brent crude LCOc1 futures for May climbed $3.07, or 2.49%, to $126.28 a barrel at 0756 GMT.

US West Texas Intermediate (WTI) crude CLc1 futures for April delivery rose $2.29, or 1.92%, to 121.69 a barrel.
 
(With inputs from Poulomi Saha, ANI)

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