The increase in petrol price is the first in three months, the last hike being on 1st March. For diesel, this is the fifth increase in rates this year
The government on Friday raised the price of petrol by 75 paisa per litre and diesel by 50 paisa a litre as the rupee hit 11-month low making oil imports costlier.
The increase in rates, which are excluding local sales tax or VAT, are effective from Saturday, Indian Oil Corporation (IOC), the nation's largest oil marketing company, said.
Petrol price in Delhi has been hiked by 90 paisa to Rs63.99 a litre from Rs63.09, while diesel will cost Rs50.25 per litre as against Rs 49.69 earlier.
Also, the oil marketing companies (OMCs) cut price of cooking gas (LPG) that consumers have to buy beyond their quota of nine subsidised cylinders in a year, by Rs45 per bottle.
Non-subsidised domestic LPG in Delhi will now cost Rs802 per 14.2-kg cylinder as against Rs847 currently.
The increase in petrol price is the first in three months, the last hike being on 1st March. Since then, petrol prices had been cut four times on falling global oil prices.
For diesel, this is the fifth increase in rates this year.
State-owned oil firms had been in January authorised to raise diesel prices by up to 50 paisa per litre every month till entire losses on the fuel are wiped out. Diesel price was last hiked by 90 paisa a litre on 11th May after the companies skipped raising rates in April to avoid troubles for the government during the Budget session of Parliament.
Petrol in Mumbai will now cost Rs70.68 a litre as against Rs69.73 earlier, while diesel prices have been raised by 62 paisa to Rs56.66.
“Prices of petrol were last revised downwards on 1st May by Rs2.50 per litre (excluding state levies). The current increase is required mainly due to depreciation of rupee from Rs54.26 to a dollar to Rs55.32 per dollar,” IOC said.
KG-D6 fields, which began gas production in April 2009, had hit a peak of 69.43 mmscmd in March 2010 before water and sand ingress shut down well after well
Reliance Industries (RIL) has reported that natural gas production at its eastern offshore KG-D6 fields dropped to less than 15 million standard cubic metres per day (mmscmd), the lowest level since starting output in April 2009.
RIL produced a total of 14.83 mmscmd from Dhirubhai-1 and 3 (D1&D3) gas fields and MA oil and gas field in the KG-DWN-98/3 or KG-D6 block in Bay of Bengal in the week ended 26th May, according to a status report of the Directorate General of Hydrocarbons (DGH).
RIL has shut half of the 18 wells on D1&D3 field due to high water and sand ingress and a third of six wells on MA field due to the same reason.
The report said D1&D3 fields produced 11.05 mmscmd of gas while the rest came from MA field. Output at D1&D3 field has dropped from 12.35 mmscmd in March and 11.85 mmscmd in April.
MA field produced an average of 5,709 barrels of oil in the week ending 26th May.
RIL has so far drilled 22 wells on D1&D3 fields but has put only 18 on production so far. Half of these wells are now shut.
KG-D6 fields, which began gas production in April 2009, had hit a peak of 69.43 mmscmd in March 2010 before water and sand ingress shut down well after well.
This peak output comprised 66.35 mmscmd from D1&D3, the largest of the 18 gas discoveries on the KG-D6 block, and 3.07 mmscmd from MA field, the only oil discovery on the block.
Besides the fall in output from D1&D3, gas production from MA field, which had hit a peak of 6.78 mmscmd in January 2012, too has dropped.
The report said of the 14.83 mmscmd of gas production from KG-D6, 14.34 mmscmd was sold to urea manufacturing fertiliser plants. No sale was made to power plants.
The remaining 0.49 mmscmd was consumed by LPG manufacturing plants and the pipeline that transports the KG-D6 gas, it said.
RIL, the report said, has projected an output of 14.50 mmscmd last week of May.
The company has so far made 18 gas and one oil discovery in the Krishna Godavari basin block in Bay of Bengal. While the lone oil find, MA went on stream in September 2008, largest among the gas finds, D1&D3 were put on production in April, 2009.
The liability of an worker engaged by a contractor rests with the main employer who had awarded the work or contract, ruled the high court
The Bombay High Court, in a significant ruling, has laid down a substantial point of law saying that the liability towards an employee engaged by a contractor or managing agent is on the main or principal employer.
Justice AH Joshi upheld the decision of Mumbai Commissioner for Workmen’s Compensation for awarding monetary relief to a worker, who died in an accident. The worker was not employed by the principal employer but by a contractor.
Justice Joshi was hearing an appeal filed by United Assurance Company, which challenged the award of compensation to a driver who was hired by MGM Motors to transport vehicles on behalf of Mahindra & Mahindra (M&M).
Admittedly, the victim was not employed by M&M, which owned the vehicles. The victim was rather employed by MGM Motors to whom the work/ contract for transport of vehicles was entrusted by the auto company.
The vehicles were required to be transported by a driver, Sureshkumar Parasnath Singh, engaged by MGM Motors on behalf of M&M. Thus, the HC held the liability towards an employee engaged by contractor or a managing agent is on the principal employer (in this case M&M).
The judge noted that this being an appeal under the Employees’ Compensation Act, the appellant has to substantiate the challenge on substantial questions of law.
He directed the appellant’s advocate KV Vitonde to pin point and address the court on substantial question of law whether a principal employer would be liable to pay compensation to a worker employed by a managing agency.
The HC, however, said it is not proved that due to any terms of contract between the two sides, the liability towards employees’ compensation was to be borne by MGM Motors.
Irrespective of the terms, the employee concerned is seen to be entitled to receive the compensation, the judge remarked and dismissed the appeal finding no merit in it.