New Delhi : The monthly diesel price hikes of 40-50 paise a litre are likely to continue as the new government is keen to cut the subsidy bill, a top Oil Ministry official told PTI.
“There is no reason why the monthly increases should be discontinued. They will continue till under-recoveries (losses) on diesel are wiped out,” the official said. The loss, which is made good through government subsidy, has been on a declining trend since March, when it stood at Rs 8.37 a litre. On cooking gas (LPG), the revenue loss has come down to Rs 449.13 per 14.2-kg cylinder from Rs 506.06 last month.