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Kerosene price hike shelved

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Jyoti Mukul New Delhi
Last Updated : Feb 25 2013 | 11:28 PM IST
The ministry of petroleum and natural gas has shelved the proposal for a 20 paise hike in kerosene price.
 
The ministry had proposed the hike as part of the pilot programme for revamping the PDS kerosene delivery mechanism but was forced to withdraw after opposition from the state governments.
 
The petroleum ministry had suggested that the state governments revised the retail selling price of kerosene after taking into account a flat rate of 20 paise a litre on account of transportation costs and sub-wholesalers' commission.
 
Officials said some states like Uttaranchal, Himachal Pradesh and Tamil Nadu had already backed out of the scheme.
 
The Centre has identified 512 blocks in consultation with state governments for the pilot programme which excludes Delhi and Chandigarh. The state-level coordinators of oil marketing companies will be the nodal officer for implementing the pilot scheme. The SLCs would identify sub-wholesale points in identified blocks in consultation with state governments.
 
The pilot programme will be taken up in 10 per cent of the blocks for six months and after assessing its progress, the petroleum ministry along with the panchayati raj ministry plans to implement the programme all over the country.
 
The scheme aims to check diversion of PDS kerosene for unintended use or adulteration by strengthening the delivery mechanism.
 
The OMCs will set up at least one kerosene wholesale dealer in each development block with storage tank, dispensing pumps, barrels for delivery to sub-wholesalers and barrel shed at the dealers' premises.
 
Minister for Petroleum and Natural Gas Mani Shankar Aiyar, who is also the panchayati raj minister, is planning to launch the programme on October 2 which would be followed by massive advertising campaign, special logos and separate colour scheme for the tank trucks.

 
 

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First Published: Aug 30 2005 | 12:00 AM IST

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