New Delhi, May 16 (PTI) The fall in global oil prices has trimmed the losses of state-owned oil companies, but it may not be enough to prevent a Rs 4 per litre increase in diesel prices and a Rs 20-25 per cylinder hike in LPG rates later this month.
During the first fortnight of May, the oil companies were losing Rs 495 crore per day on the sale of diesel, domestic LPG and kerosene below their imported cost. However, in the second half of the month, the losses have come down to Rs 479 crore.
Oil firms calculate the desired increase in fuel prices on 1st and 16th of every month, based on the average oil price of the previous fortnight.
"The May 1-15 average of the basket of crude oil India buys, at USD 112.