The government does not propose to increase prices of controlled petroleum products in the immediate future.

"We have no immediate proposal to hike prices. We are continuously monitoring the international crude oil prices which have been going up for the past fortnight. But the present situation does not warrant any increase in domestic prices," Naik said.

The minister said the oil import bill for 2001-02 is likely to be around Rs 85,000 crore, mostly unchanged from the previous year's figure.

He disclosed that the government is considering exempting domestic airlines from paying sales tax on aviation turbine fuel (ATF).

"The issue of exempting domestic airlines from payment of sales tax on ATF to provide them level playing field viz-a-viz foreign airlines who are exempted from paying local levies, is under consideration of a parliamentary standing committee," Naik said.

One of the pre-requisites for decontrolling the pricing of ATF, he said, was enactment of a legislation exempting its sale to foreign airlines from the levy of state sales tax, as envisaged under the bilateral air services agreement with other countries.

A Bill was introduced for the purpose in the winter session of Parliament but could not be passed so far.

The Bill has been referred to the parliamentary standing committee which would also consider exempting the domestic airlines from payment of sales tax on ATF, he said.

The amounts of sales tax paid to state governments on sale of ATF to foreign airlines would, pending enactment of the legislation, be reimbursed to the oil marketing companies from the oil pool account, the minister said.

Till now oil companies had to bear the sales tax component of ATF sales to foreign airlines, Naik said.