The current over-recovery on diesel sale for India’s oil marketing companies has reportedly shot up to Rs3.56 per litre. Cabinet will be soon taking a decision on slashing diesel prices. This would be a good news indeed for many of us.
Because of the fall in international prices, over recovery on diesel has increased from Rs 1.90 per litre during October 2014 to Rs 3.56 per litre from October 16. For the last eight months, government has been increasing Rs.50 paise for every 15 days.
This led to a huge increase of 11 rupees over all on diesel. Diesel is a major indicator of inflation, which determines the prices of all essential items. The government is already content that inflation is coming down.
And now with the latest news that Diesel may be slashed by more than 3 Rupees, this is being seen as positive news for consumers whose burden would come down on most of the household commodities.
