Finance Minister Pranab Mukherjee on Thursday said the government is moving in the direction of decontrol of diesel price on which it has taken a view in principle and it has no other proposals.

“We are moving in that direction (of decontrol). There are no other proposals under consideration of the government,” he told reporters outside Parliament after his reply in the Lok Sabha on the discussion on price rise.

Mr. Mukherjee said in the context of his reply to the discussion on inflation he had mentioned that the government has in principle taken a view on decontrol of prices as has been done in the case of petrol.

He said for better targeting of subsidies of LPG, kerosene and fertiliser a Committee under Nandan Nilekani was working out modalities.

There has been speculation following his reply in the Lok Sabha that the government may adopt differential pricing of diesel for passenger cars vis-a-vis its use in rural areas.

Keywords: diesel prices

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