Fuel prices rise ahead of Lok Sabha Election 2019 results

New Delhi : One day after the voting of Lok Sabha Election 2019 ended, the fuel prices have been increased by the state-owned oil marketing companies (OMC) on Monday.

On Monday, petrol prices increased by 9 paise per litre to Rs 71.12 and diesel by a higher 15 paisa per litre to Rs 66.11 in Delhi, ending 15-day run where the product prices maintained consistent fall.

However, an official claimed that the hike is as per routine. But the sources say that the companies were asked by the government to keep product prices moderate during the elections.

It is likely that the OMCs will increase price now as the election is all set to end and they would now target to cover up their losses. This would mean that consumers could face the first shock from higher transport fuel prices during the initial leg of the new government at the centre.

IANS wrote on May 7 that oil companies may raise the retail price of the two transport fuels between Rs 3-5 per litre in phases to make up for losses they incurred by keeping the prices at artificially low levels in the run-up to the elections

Government sources said that oil companies sold petrol at almost Rs 5 per litre discount and diesel at Rs 3 per litre discount in the months of March and April when average crude oil price of Indian basket hit a high of about $67 a barrel and $71 barrel respectively. The level has also maintained during most days in May so far.