Rising Fuel Prices Hurting Economies, Stoking Inflation: Petroleum Minister

Petroleum Minister Hardeep Puri says high prices of oil has impact on the economies, leading to surge in inflation and affecting the logistics cost

Amid sky-rocketing fuel prices in the country which has forced the government to consider asking refiners to unitedly work towards seeking better crude import deals, Petroleum Minister Hardeep Singh Puri said on Wednesday that access to energy must be affordable as high prices of oil has hit economies and given rise to inflation.

Mr Puri's comments have come at a time when petrol and diesel prices have gone past the Rs 100 per litre mark across the country and with rates rising almost on a daily basis, they have burnt a hole in the common man's pocket.

Speaking at the fifth India Energy Forum, the minister said the fact that the world faces unprecedented challenges would be an “understatement” and in an era of transition, energy markets are characterised by key imbalances.

He said that the current levels of oil and gas prices are too high. “India is 85 per cent dependent on imported oil while the import dependence is about 55 per cent for gas”.