Oil ministry favours hike in fuel prices - source

PETROL-DIESEL-LPG-KEROSINE-OIL-HIKE:Oil ministry favours hike in fuel prices - source

The oil ministry is in favour of an increase in the prices of diesel, LPG and kerosene and oil retailers may also raise petrol prices after September 7 when the current session of parliament ends, a ministry source said.

"A sense of urgency (to raise petroleum prices) is keenly felt by everybody right from the prime minister," the source told reporters on Wednesday.

The government has freed up petrol prices but continues to subsidise prices of other petroleum products.

The oil ministry has also recommended capping the number of cylinders of cooking gas, or LPG, to be sold to households at a subsidised rate to around four per year and disqualifying people with a monthly salary of 50,000 rupees or above from buying at subsidised rate.