From April 1, it's not april fool, but it for real now. The petrol price will be determined on weekly basis. Current practice of monthly price determination which started in 2015 will be stopped. But there's a catch. It's no longer fixed priced. Government will merely fix the ceiling price, which means, stations have rights to set lower as per their wish. This indirectly creates price war among stations
Of course public will benefit from this price war. Nevertheless, smaller stations whom running on small margin will get effected and ultimately, may close shop. The move by government ultimately to match the practise in England, where price changes everyday, similar to forex and share price.
Let's see how long can this last. In addition, the subsidy which government saved, has to be channeled to proper areas for development.
Of course public will benefit from this price war. Nevertheless, smaller stations whom running on small margin will get effected and ultimately, may close shop. The move by government ultimately to match the practise in England, where price changes everyday, similar to forex and share price.
Let's see how long can this last. In addition, the subsidy which government saved, has to be channeled to proper areas for development.
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