01:21 GMT +327 June 2017
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    A cyclist walks past an Indian Oil company in Mumbai, India, (File)

    India Joins US, Australia By Changing Petrol & Diesel Prices Daily

    © AP Photo/ Rajanish Kakade
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    In a major bid to attract global oil firms into the retail market, India has initiated dynamic price of gasoline and diesel i.e. prices of these commodities will change daily in tandem with crude prices. State-owned firms claimed a successful rollout of daily pricing from Friday.

    New Delhi (Sputnik) — With this step towards transparency and customer interest, the Indian oil and gas industry has joined the elite league of countries like USA and Australia wherein fuel prices are revised on a daily basis. It is also a first in a country with 1.3 billion population.

    ​“Daily revision of petrol and diesel will set new standards of transparency, encourage automation drive of petrol pumps and better stock management practices. It is a win-to-all situation for consumers, industry as well as dealers,” oil firm Indian Oil said after successful rollout of dynamic pricing in the country.

    “Proud to share that India is the first country to switch to dynamic fuel pricing on such a large scale at one go,” Dharmendra Pradhan, India’s Petroleum & Natural Gas Minister tweeted. On the first day, Indian consumers purchased petrol and diesel at cheaper rates as oil companies decided to stay with a sharp fall in prices. Since last one month, oil companies are regularly conducting awareness sessions with dealers on daily price revision.

    ​Daily changes in prices will provide major attraction point to global firms like ADNOC of UAE, Saudi Aramco of Saudi Arabia, Rosneft of Russia, BP of Britain and Shell to enter the Indian retail market which consumes four million barrels a day in oil products and is expected to grow by 5-7% per annum for a decade. Global firms will also get benefit with India’s pricing formula which gives higher profit to retailers. Indian government has asked global firms to enter the retail market which may transform India’s energy market with high-end technology and more transparent pricing.

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    price, oil, petrol, BP, Australia, United States, India
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