New Delhi: Oil ministry is in favour of an increase in the prices of diesel, cooking gas and kerosene and oil retailers may also raise gasoline prices after September 7 when the current session of parliament ends, a ministry source said.

Diesel, petrol prices likely to be hiked

"A sense of urgency (to raise petroleum prices) is keenly felt by everybody right from the prime minister," the source told reporters on Wednesday.

The Indian government has freed up petrol prices but continues to subsidise prices of other petroleum products.

The oil ministry has also recommended capping the number of cylinders of cooking gas, or LPG, to be sold to households at a subsidised rate to around four per year and disqualifying people with a monthly salary of 50,000 rupees or above from buying at subsidised rate.

(Agencies)

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