Group Discussion Topic: Fuel Price Hike

May 27,2011

printprintpdfpdf
Comments

With global crude oil prices on the downswing, the UPA government is adopting a wait-and-watch policy before taking the political plunge to raise prices of controlled petroleum products —diesel, cooking gas and kerosene, Indian Express reported Friday, May 27.

 

The Empowered Group of Ministers (EGoM) on fuels under FM Pranab Mukherjee is expected to raise diesel and cooking gas prices on June 9.

Diesel price is likely to be increased by Rs 2-3 a litre and cooking gas by about Rs 35 per cylinder. The increase in price of diesel, which is the main transportation fuel, is expected to push up cost of essential items, all goods that move on trucks as well as bus and taxi fares.

 

The fuel price will hit the common man’s pocket by increasing cost of living leading to cost push inflation. Since petroleum is an intermediary product, it will increase transportation and living cost.

 

The topic is open for discussion. Post your comments to participate in this virtual group discussion.

 

Post your comments keeping in sync with the following guidelines:
• Assume, you are one of the members of a real group discussion.
• Grab the opportunity to communicate your thoughts on topic mentioned above.
• Demonstrate your managerial skills, provide a solution
• Kindly refrain from posting derogatory comments

 

Concluded.

 

.

printprintpdfpdf
Comments
Also View Articles by: Group-Discussion-Topics, mba-gd-topics, Fuel-price-hike, Inflation-In-India, mba-gd-topics-with-answers, gd-topics-of-the-day, Current-GD-Topics,

Related Stories

Latest Stories




emailprintprintpdfpdf

Post new comment

The content of this field is kept private and will not be shown publicly.
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions. CoolAvenues.com is not responsible for the views and opinions of the posters.
18 + 2 =
Solve this simple math problem and enter the result. E.g. for 1+3, enter 4.

Comments





Shivag on 05/27/11 at 11:33 pm





 
    
  
  
    
The Petroleum is available limited in India which is not renewable source,

while, we have been importing crude oil from middle east and African countries which abounds oil.  International crude oil prices affects domestic fuel prices

lifting control over companies makes them revise the fuel prices in tune with international crude oil prices. So that, they will be able to make profits significantly, by removing subsidy scheme on fuel, diesel, and cooking gas etc.

The state run oil marketing companies must focus on alternatives to reduce the cost production of fuel, like by practicing crude oil imports through sea based  pipelines.



  
  
    

    
  • 


  

    






    
Alok on 05/29/11 at 06:08 pm

  

  
    
  
 
    
  
  
    
subsidy reduction shd not be done by raising motor fuel prices but by tax reduction as increasing their prices will add fuel to the fire of deadly inflation.Cooking fuel should be unsubsidized in one go as infinite solar is free and induction is cheaper than subsidized lpg substitutes.



  
  
    

    
  • 


  

    






    
Alok on 05/29/11 at 06:03 pm

  

  
    
  
 
    
  
  
    
as energy is being used for votes and increasing curruption nothing can be done by government and policy makers to improve oil and power sector which is suffering from mind fracturing 365000000000000 paise loss each year which no polition can read. Easiest solution is increasing cooking fuel prices and equivelent reduction in motor fuel taxes. But it will not be done. Public can help by using free solar instead of lpg  and kerosene, rain water harvesting to reduce use of diesel and electricity , efficient vehicle use and agitation for development of electric railways to reduce motor fuel consumption are some very easy steps which can be taken by us.According to recent news Guna Etawah rail route can be completed in 2013 after 27 years of start and that too as a slow speed single line non electrified track. due to this type of gross step motherly treatment for rails which is being used for votes we are forced to oil drinking roads. come on indians before governments make india energyless.



  
  
    

    
  • 


  

    






    
raman on 05/29/11 at 07:23 pm

  

  
    
  
 
    
  
  
    
The other key factors which you need to consider are 


1. Efficiency of Petroleum Companies

2. Opening of sector - why no oil majors are present in India and only Reliance / and Govt companies play the game

3. Revisiting the price used to calculate cost of Oil in India. At present they use Singapore FOB price

4. marketing Budget of Oil companies - why do oil companies need to sponsor cricketers and run huge marketing budget when they are bleeding?



  
  
    

    
  • 


  

    






    
sreni mohan on 07/13/11 at 12:56 pm

  

  
    
  
 
    
  
  
    
frequent fuel price hike in India shows the futility of our government.



  
  
    

    
  • 


  

    






    
supriyasingh05 on 07/23/11 at 01:14 am

  

  
    
  
 
    
  
  
    
Petroleum is a non renewable source of energy,and is very limited in India,this doesn,t means that it would be dealt so.

increasing fuel prices directly or indirectly effects the livelihood of common man .He is the sufferer in all cases.

at last diesel & cooking gas should be subsidisaed,to ease the suffering of common man



  
  
    

    
  •