Iran names slain Khamenei’s son new supreme leader
NEW DELHI/CHICAGO, March 9: Petrol and diesel prices will not be increased for now despite international crude oil rates crossing USD 100 per barrel, government sources said on Monday, even as authorities stepped up efforts to maintain uninterrupted fuel supply lines across the country.
As the conflict in West Asia entered the tenth day, world markets plummeted, and Brent crude oil, the international standard, surged to nearly USD 120 a barrel, about 65 per cent higher than when the war started, before retreating.
The price for a barrel of Brent crude, the international standard, surged to USD 119.50 per barrel early in the day but later was trading near USD 106 per barrel, up 14 per cent, before the opening bell. West Texas Intermediate, the light, sweet crude oil produced in the United States, soared above USD 119.48 per barrel but fell back closer to USD 103.
Top central government sources said the government is closely monitoring global oil markets, but there is no immediate plan to raise retail fuel prices. Oil marketing companies are expected to absorb the current cost pressure for the time being.
While the country has adequate stocks of both raw material (crude oil) and finished products (fuels) to meet requirements for the next 6-8 weeks, the government has tweaked the policy for ordering a cooking gas LPG refill.
The minimum gap for booking a domestic LPG refill has been increased to 25 days from the current 21 days, a move aimed at preventing hoarding and ensuring equitable distribution of cylinders.
Sources said the minimum waiting period for booking a domestic LPG cylinder refill increased from 21 days to 25 days to prevent hoarding.
Average households consume 7-8 LPG cylinders of 14.2 kg in a year and should normally not need a refill in less than 6 weeks, they said, adding the refill booking period has been increased to prevent hoarding and creation of artificial scarcity in the market. The oil companies have an adequate stock of LPG, they added.
Sources said the government is closely monitoring the evolving global energy situation and has taken steps to ensure that supply chains remain stable.
Prices eased after French President Emmanuel Macron said the Group of Seven major industrialized powers could dip into their emergency oil stockpiles in response to soaring prices. But later Monday, the G7 said it had decided against using their strategic reserves, at least for now.
“We’re not there yet,” French Finance Minister Roland Lescure said after chairing a meeting of his G7 counterparts. Still, he told reporters in Brussels that the group was “ready to take necessary and coordinated steps in order to stabilize markets, such as strategic stockpiling.” On Saturday, President Donald Trump also downplayed the idea of turning to America’s Strategic Petroleum Reserve, maintaining US supplies were ample and prices would soon fall.
Iran named the hard-line Ayatollah Mojtaba Khamenei to succeed his late father as supreme leader on Monday, signaling no letup in the war. The appointment marked a new sign of defiance by Iran’s embattled leadership after more than a week of heavy US and Israeli bombardment, suggesting that Tehran is not close to giving up on what it considers a fight for the country’s existence.
The war’s toll on civilian targets grew as Bahrain accused Iran of striking a desalination plant vital to drinking water supplies. Bahrain’s national oil company declared force majeure for its shipments after an Iranian attack set its refinery complex ablaze. The legal declaration releases the company of contractual obligations because of extraordinary circumstances. (AP/PTI)
