Officials give Manmohan a must-do list

Likely to defer hike in oil prices.

Prime Minister Manmohan Singh will have to immediately address issues like an increase in oil prices and appointment of about a dozen secretaries at the Centre along with ambassadors to the US and the UK.

After the first Cabinet meeting of the new government today, secretaries of key ministries presented a must-do list to Singh. Sources said the new government might defer a decision on increasing oil prices.

"One of the options being considered is setting up of a price stabilisation fund to provide some sort of cushion to state-owned oil marketing companies," said a minister in the new government.

Global crude oil prices have shot up by over $6 a barrel since January with US light crude touching its 21-year high of nearly $42 a barrel and London Brent $39 a barrel.

Against this background, oil companies have been demanding an increase of Rs 4 and Rs 5 a litre in the prices of petrol and diesel, respectively.

The prices were last revised on January 1. The United Progressive Alliance government will also be required to fill key secretary-level slots falling vacant before July.