New Delhi: The prime minister's economic advisory panel has said that diesel prices should be freed from government control "as early as possible", a suggestion if accepted will lead to a price hike of Rs2.87 per litre, reports PTI.
"I think the sooner it (deregulation of diesel prices) is done the better... I think it should be done as early as possible," Prime Minister's Economic Advisory Council (PMEAC) chairman C Rangarajan told PTI.
The government had on 25th June deregulated petrol price and said the same for diesel will be done soon. But with inflation rate continuing to remain at unmanageable levels, the government put-off the decision as any further hike in diesel price would lead to cascading effect.
At present the retail price of diesel is Rs2.87 a litre short of cost of production.
Oil secretary S Sundareshan earlier this week stated that "there is no thinking at this juncture" to deregulate diesel prices as "it will be unfair" to increase rates when inflation is already high.
Finance secretary Ashok Chawla had also said that it will not be a wise or prudent thing to deregulate price of diesel at a time when inflation is running so high.
Wholesale price inflation rose to 8.62% in September from 8.51% in the previous month.
Mr Rangarajan said it would be appropriate to deregulate diesel prices when inflation reaches 7% from 8.62%, adding that inflation is likely to reach 6.5% by December.
The government, on 25th June, had decontrolled petrol price and had said that diesel would move in free price regime shortly. At that time, an ad-hoc Rs2 a litre increase in diesel price was brought into effect.
Since the 25th June decision, petrol prices have been raised twice, once in September and second time during the last week to reflect the rising trend in international crude oil prices.
Realty company Godrej Properties Ltd has clocked net profit of Rs32.9 crore in the second quarter ended 30th September, down from Rs44.7 crore posted in the year-ago period.
Total revenues declined to Rs83.7 crore in the second quarter financial year 2010-11 from Rs98.9 crore in the corresponding period of the last fiscal, the Godrej Group firm said in a press release However, its first half of the FY 2010-11 net profit expanded to Rs55.4 crore, as against Rs47.7 crore in the year-ago period, while total revenues also rose to Rs157.2 crore from Rs117.7 crore in the year-ago period.
Godrej Properties Chairman Adi Godrej said demand in the residential segment continues to improve in many cities and "largely outstrips prevailing supply levels."
"We expect sustained opportunities and growth in the future. Godrej Properties remains committed to growth through its joint venture business model," he said.
The company has launched projects in eight cities. It has entered a joint development (JD) agreement with Bombay Footwear to develop 1,50,000 sq ft of residential space in Chembur, Mumbai. Godrej Properties will share 50% of the revenue, the release added.
On residential sales, the company said they constituted over 1,20,000 sq ft in Q2 FY 2010-11.
On Wednesday, Godrej Properties shares ended 1.5% up at Rs705 on the Bombay Stock Exchange, while the benchmark Sensex closed 0.6% down at 19,872 points.
Financial services firm Religare Enterprises Ltd today reported a consolidated net loss of Rs24.2 crore in the second quarter of the current fiscal, mainly on account of investments in its subsidiaries.
The company had a net profit of Rs29.7 crore during the July-September quarter of the last fiscal.
The company attributed the loss to investment in its global asset management and investment banking subsidiaries.
Religare reported a total income of Rs627.4 crore in second quarter financial year 2010-11, up 51% year-on-year basis.
In the first half of 2010-11, the company's consolidated net loss is Rs73.6 crore, compared to net profit of Rs43.1 crore during April-September period last year, Religare Enterprises, said in a statement.
On Wednesday, Religare Enterprises shares gained 2.3% to Rs474 on the Bombay Stock Exchange, while the benchmark Sensex closed 0.6% down at 19,872 points.