Petrol and Diesel Prices to be revised daily starting on 16th June

While the move has been widely applauded by the fuel giants, we think there is a little more to it than meets the eye.

By:Published: June 12, 2017 2:49:15 PM

If you thought the government policy on taxing and ultimately creating a fuel price point was strange and difficult to understand. Be assured, the government has not been paying attention. The government has now announced new reforms to allow fuel stations to revise their prices on a daily basis, depending on market fluctuations and what have you. Like it is in most countries abroad.

A few fuel pumps in Puducherry, Vizag, Udaipur, Jamshedpur, and Chandigarh have already conducted a pilot run on the daily updated prices having started on the first of May. Now having satisfied themselves on a successful pilot the government has decided to move on to the rest of the country from the 16th of June this year. That’s two days from today in case you missed it.

Now when this law comes into place, this will mean that fuel will be priced differently depending on which city, state or fuel operator you’re filling up at. See ! It’s literally that simple.  Now the three big dogs of the Indian Fuel industry ie Bharat Petroleum, Hindustan Petroleum and Indian Oil have released statement welcoming the new laws. Saying that it will help to kerb the quarterly jumps in fuel rates and help create a more standardised flow. The effect, if at all will be marginal at best.

There’s a downside to this though.

Since there is no standardised price and the masses can not be expected to keep up with the daily revisions, we wouldn’t know better if the prices were revised without prior sanctions. Even a few paisa here and there on a litre will make massive differences to the profits a fuel station will be raking in.  Leaving the door to pilferage, suspiciously ajar.

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