FM Nirmala Sitharaman defends fuel price hike, says India cannot afford fear-mongering
Finance Minister Nirmala Sitharaman on Monday defended the recent hike in petrol and diesel prices, stating that India cannot afford “fear-mongering” amid global crude oil volatility triggered by geopolitical tensions in West Asia.
Her remarks came after state-run oil marketing companies increased petrol and diesel prices for the fourth time in 10 days, citing rising international crude oil prices and mounting under-recoveries.
Addressing concerns over inflation and fuel costs, Sitharaman said the government was closely monitoring the global energy situation and taking calibrated steps to maintain economic stability.
According to reports, the government may face a potential revenue loss of nearly ₹1 lakh crore due to measures aimed at cushioning the impact of global oil price fluctuations on consumers and the economy.
The recent increase pushed petrol prices in Delhi above the ₹100-per-litre mark for the first time in four years, while diesel prices also saw a sharp jump across major cities.
The fuel price revisions come amid uncertainty surrounding crude oil supplies through the Strait of Hormuz, a key global energy route affected by the ongoing conflict situation in West Asia.
Opposition leaders have criticised the repeated hikes, accusing the Centre of failing to control inflation and questioning why India is not importing larger quantities of cheaper oil from Russia and Iran.
Government officials, however, maintain that fuel pricing decisions are influenced by multiple global factors, including crude prices, supply disruptions, currency fluctuations and recovery of past losses by oil companies.
