With the Rs 28,000-crore refinery project of Indian Oil Corporation Ltd (IOCL) at Paradip under a cloud of delay, the Odisha government has decided to ink an MoU (Memorandum of Understanding) with the oil marketing firm to stipulate timeline and milestones for commissioning of the project.

IOCL being the anchor tenant for the PCPIR hub (Petroleum, Chemical and Petrochemical Investment Region) to be set up in 70,214 acres of land spread over Jagatsinghpur and Kendrapara districts, the timely commissioning of the refinery was vital for attracting investors for the mega investment hub.

In line with the falling global prices, petrol may be made cheaper by around Rs 2 a litre later this week, creating political legroom for a diesel price revision. This will be the second price cut in the month after the Rs 7.54 increase last month triggered strong political opposition. On June 2, petrol was brought down by Rs 2.02 to Rs 71.16 a litre in the capital.

Oil marketing companies review petrol prices, vis-a-vis the average international price, on a fortnightly basis. “When the price was cut on June 2, the average international price was $115.81 per barrel, against $124.42 in the fortnight when the price was increased by Rs 6.28 excluding taxes.

Petrol Hike Should Have Been Done Earlier: Pawar

Freeing up petro product pricing and marketing will end the practice of oil companies making false claims of losses

Andhra Pradesh government late on Wednesday decided to reduce Value Added Tax (VAT) by 2 per cent on petrol, bringing its price down by Rs1.19 per litre, a move which has been approved by the Elect

The approval of Delhi budget 2012-13 on Monday brought about the rollback several levies proposed by Chief Minister Sheila Dikshit, who also holds the Finance portfolio.

In the wake of a marked preference of personal vehicle owners, more so after the hike in petrol prices, the Finance Ministry is having a re-look at the Petroleum Ministry's proposal to hike the excise levy duty on diesel cars so as to disincentivise consumption of the subsidised transportation fuel.

Indicating to the media that the proposal is still under the government's scanner, CBEC (Central Board of Excise and Customs) Chairman S. K. Goel said: “The proposal is there and that is being examined by Finance Minister. Consultations are being held and appropriate decision will be taken by the government in due course.”

The petrol price in Delhi is all set to go down by 92 paise per litre from Rs. 71.16 as the Delhi Budget, which carried the proposal of waiving off the Value Added Tax on the recently-hiked price of the fuel, was passed by the Assembly on Monday. Besides, the Government has also dropped the proposal to impose five per cent VAT on compressed natural gas and high value textiles.

New Delhi: The Delhi chief minister on Sunday ruled out any rollback of the 5% VAT on CNG proposed in this year’s budget.

Terming as “justifiable” the government’s move to impose five per cent Value Added Tax (VAT) on CNG, the fuel on which the public transport runs in the city, chief minister Sheila Dikshit has ruled out any rollback of the increased price of the fuel. “We will not withdraw the VAT on CNG. We have levied only five per cent VAT on the fuel and that is justifiable,” Ms Dikshit said.

The chief minister had, while presenting the Budget on May 28, proposed to impose the VAT on compressed natural gas (CNG) to generate around `110 crores in revenue while withdrawing VAT on petrol after a nation-wide hike in its price. The Delhi Assembly will take up the Budget for approval on Monday.