Petro price hikes imminent: Aiyar

Petroleum minister Mani Shankar Aiyar today indicated an imminent hike in petrol and diesel prices as a fallout of the spurt in international crude oil prices, but said consumers would be burdened with the "least possible" increase.

"The rise in international prices warrant an increase in retail prices. We are trying to balance consumers' interest, saving oil firms from bankruptcy and keeping the fiscal deficit under control. It is possible that a small burden may be passed on to consumers," he said.

Though Aiyar did not indicate the extent of the hike, officials said the ministry has sought a Rs 3.25 per litre hike in petrol price and a Rs 4 per litre rise in diesel price.

"All facts relating to the burden on oil companies consequent to the rise in global prices have been placed before the cabinet. In addition, I have personally written to the Prime Minister and the finance minister appraising them of the situation," Aiyar said.