If you own a luxury diesel car, like say a Mercedes, the Oil Minister thinks you should pay more for diesel. This would come under the governments dual pricing strategy for diesel said Oil Minister Murli Deora. “Commercial and luxury diesel car owners should pay more for fuel as they can afford it,” Deora said.

The demand for diesel has been rising by 23-24 per cent while oil companies are losing 1 lakh crore rupees for subsidising the fuel. Dual pricing was a key recommendation of high-powered BK Chaturvedi Committee, which submitted its report on the health of oil companies to the Prime Minister in July this year.

Meanwhile, there is increasing political pressure from the UPA allies to cut fuel prices as elections draw near. Deora has however reiterated that fuel prices will not be cut as of now. “We are planning how we help those sectors which need subsidy on diesel like the essential transporters and railways. But for those who can afford luxuries like Mercedes car paying just Rupees 16-17 for diesel is not fair on others,” said the Oil minister, Murli Deora.