Hyderabad: Union Petroleum Minister Ram Naik on October 1 hinted that there would a be a review of petro prices after a discussion with Finance Ministry but defended the mechanism of adjusting prices in tune with fluctuations in international oil prices.

"After the Finance Minister Jashwant Singh returns from abroad, we will have a discussion about the possible adjustments in excise duty as we have done in June (reduced the prices by two per cent)," Naik told reporters.

Strongly defending the frequent revisions in oil prices, Naik said, "the market will adjust to it soon. We have no option but to sway with international fluctuations and our oil companies will review the prices every fortnight and revise them whenever required".

However, his ministry along with Finance Ministry would review prices quarterly and decide on the excise duty reduction and other aspects, Naik, who was here to participate in a party function, said after passing through angry demonstrations by city Congress at the guest house where he was to address the press conference.

Highly volatile international oil market sets the tune for price fluctuations, the minister said and reiterated that the decision of dismantling Administered Price Mechanism (APD) was taken in 1977 during Congress rule and the committee report on deregulation of oil sector was accepted by United Front while National Democratic Alliance (NDA) was only implementing decisions taken by earlier regimes.

PTI