A committee recommends rationalization of diesel and petrol prices

The long awaited pricing formula for petroleum products to bail out the oil industry from impending bankruptcy has been tabled. If put into effect this prescription can correct distorted prices of automotive fuels of petrol and diesel and halt misuse of under-taxed and under-priced diesel by the car sector.
This is among the recommendations of a high powered committee set up by the Prime Minister under the chairmanship of Planning Commission member B K Chaturvedi in the wake of economic and energy emergency triggered by soaring oil prices and demand. In June 2008 the crude prices had hit us $130 a barrel