Why the Petrol and Diesel prices are rising: Current Affairs Series

Team Adda247 and BankersAadda are here with a Current Affairs Special Series for SBI and IBPS interview 2021.  In this series, candidates will be introduced to current affairs topics on daily basis, which will not only improve their general awareness but also will ensure that the candidates do not lack if any current affairs topic is asked in the interview. Today’s Current Affairs Topic is the Why the Petrol and Diesel prices are rising.

Why the Petrol and Diesel prices are rising.

We have seen sharp fall of Gold prices from last 2-3 months but the prices of Petrol and Diesel are rising sharply since last week. Petrol and Diesel prices have hit record highs across the country, with petrol touching Rs.89 and diesel touching Rs.86 per litre in Mumbai.

Government of India giving reason of rising prices of petrol and diesel is that global crude oil prices have raised and this forcing oil retailer to increase pump prices. India imports over 80 percent of its crude oil requirement, so the increase in global prices has a huge impact on fuel prices in India. As our economy is going to be open from lockdown phases to unlock phase more people are going out for their work or their desires it also leads consumption for petrol and diesel as per pre-Covid level. In early January, the Oil Producing and Exporting Countries (OPEC) and Russia agreed to cut back oil production and to increase prices. Petrol and Diesel are taxed heavily in India; this fact explained that the fuel does not fall under the Goods and Services Tax (GST) regime.

The Government is also getting benefit by increasing prices of oil to shore up weak budget or to get good revenues from it. Many sectors and consumer of India are getting affected very badly. Government should take some steps or set up committee to avoid this situation.

Minister for Petroleum and Natural Gas: Dharmendra Pradhan

OPEC HQ: Vienna, Austria

Stay connected with us for this  Current Affairs Special Series if you are an achiever who is now appearing for an interview of IBPS or SBI.