Delhi High Court rejects plea seeking direction to Centre to disclose formula used to fix fuel prices

New Delhi: The Delhi High Court on Wednesday dismissed an application seeking a direction to the Centre to disclose the formula on the basis of which daily prices of petroleum and diesel are fixed.

A bench of Chief Justice Rajendra Menon and Justice V Kameswar Rao refused to interfere with the government policy on fixing petrol prices.

File image of a fuel hose at a petrol pump. Reuters

File image of a fuel hose at a petrol pump. Reuters

The court was hearing an application filed by Delhi-based designer Pooja Mahajan. Her advocate A Maitri sought a direction to call the records from the government, including oil companies, to disclose the formula and furnish details on the basis of which the daily fuel prices are fixed.

The petitioner said that people were suffering irreparably because these prices were being enhanced on presumption. Maitri said that the oil manufacturing companies were selling their old stock of petrol and diesel at enhanced prices while admittedly the said stock was purchased at a cheaper rate.

As per official claims, petrol and diesel prices are fixed on account of increase in international prices. Admittedly, international price of crude oil is fixed on a per barrel basis, the plea said.

The application was filed on the pending public interest litigation by the petitioner, in which she has sought direction to the central government to fix a "fair price" of petrol and diesel as it is a policy matter that involved larger economic issues.

The high court has asked the government to consider an earlier representation pending before it on the price rise of petrol and diesel.

Mahajan had filed a similar plea in July but the high court had then directed the Centre to treat the PIL as a representation. The petitioner has sought a directive to the Centre to fix a "fair price" of petrol and diesel in line with the Essential Commodities Act.


Updated Date: Sep 19, 2018 14:56 PM

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