Diesel Hit by 10% Hike to Rs 64.80 While Petrol Remains Unchanged

A 10 per cent hike in diesel costs was confirmed by the Minister of Commerce on Tuesday, 24 March, following a Petroleum Pricing Committee meeting.

Speaking live on Radio Plus, Minister Michael Sik Yuen confirmed that the cost of diesel will increase from Rs 58.95 to Rs 64.80 per litre.

Meanwhile, the price of petrol is set to remain unchanged at Rs 58.45 per litre.

Economic Warning

The move has sparked immediate concern from consumer advocates. Suttyhudeo Tengur, president of the Association for the Protection of the Environment and Consumers, warned that the hike in “fuel oil” (diesel) would likely trigger a domino effect across the economy.

“Diesel is an essential input for electricity production and industrial activities,” Mr Tengur noted.

He cautioned that the increase is expected to drive up production costs, which may lead to higher electricity tariffs and increased prices for general goods and services.

Stability Risks

While the decision to keep petrol prices static offers a “temporary relief” for motorists at the pump, Mr Tengur argued that underlying economic pressures remain.

He suggested the current stability might be propped up by the Price Stabilisation Fund or existing stocks, warning that delayed adjustments today could necessitate much steeper hikes in the future.

The consumer leader has called upon the authorities to ensure “total transparency” regarding pricing mechanisms to protect the public from further financial strain.

Source: Defi Media / Defi Media2