Wednesday, August 17 2005 14:27 Hrs (IST) - World Time -

New Delhi: Petrol and diesel prices are unlikely to be changed before the end of the current monsoon session of Parliament, a top official said today (Aug 17, 2005).

"We do not see the Cabinet deciding on increasing prices till the end of next week," the official said.

The monsoon session of Parliament ends on August 26.

The price hike seems imminent with no signs of a let up in global crude oil prices that are still hovering around 66 dollars a barrel.

All state-run oil marketing companies posted net losses for the first quarter this fiscal and are pressing for a hefty hike in fuel prices to avoid turning financially sick.

Indian Oil Corp, the country's largest oil firm, has sought a steep Rs 4.54 per litre hike in diesel and Rs 5.29 per litre increase in petrol prices. The company has also sought Rs 11.25 per litre increase in kerosene prices and a massive Rs 92 hike in price of LPG cylinder.

According to the Petroleum Ministry's estimates, International Olympic Committee (IOC) will turn sick in 35 months from now if prices are not changed in line with the spurt in global oil prices.

However, since such a steep increase in fuel prices might not be politically feasible for the government in view of the stiff opposition from the Left parties, the Petroleum Ministry has proposed an increase of Rs 1-2 per litre in petrol and diesel prices and cut in excise duty on them to offset the impact of surging global oil prices.