“May have to go for fuel price adjustment,” Nasrul Hamid says
State Minister for Power, Energy and Mineral Resources Nasrul Hamid has hinted at raising price of fuel oil by highlighting the country's energy situation in the wake of rising oil and gas prices in the global market.
"We have been seeing an uptrend in the price of oil for six-seven months. The oil that we used to buy for $70-$71 has now become $171 and it's always going up," he said in an audio message sent to the media today (July 7, 2022).
"…Using our own money, we have been giving subsidy. We have to go for (oil) price adjustments at some point," he added.
Highlighting the worldwide rise in oil prices, the state minister said, "Countries have taken various steps due to the rise in oil prices. They adjusted the price of oil. As far as neighbouring India is concerned, they have increased prices by Rs 35 to Rs 50 per litre for various oils."
About electricity, Nasrul said, "64 percent of our power plants are run by local gas. The amount of gas from our wells has been decreasing day by day."
"We have been saying that gas reserves will gradually decrease," he said.
Stating that the current situation is temporary, the state minister added, "This won't last long. We have a lot of power plants. But due to the gas crisis, we have reduced power generation."
Nasrul Hamid said, "If we are frugal in terms of using gas, then we will definitely be able to deal with this situation."