TNI Bureau: Price of diesel is likely to be hiked soon after the Presidential Polls on 19th of this month. As per the report, government is on the verge of taking bold measures to hold back run-away fiscal deficit.

Diesel price remains unchanged since 25 June 2011 and state-owned firms sell the fuel at a loss of Rs 10.33 a litre. The nation’s most consumed fuel continues to be tightly controlled by the government.

Earlier, a panel of ministers had attempted to deregulate diesel price, but was not allowed and the govt continued to control the affair.

Pranab Mukherjee was heading the Empowered Group of Ministers (EGoM) that controls diesel price in India. But, as he resigned last month to contest the July 19 Presidential poll, now the panel is without a quorum. EGoM has representatives from ruling UPA’s allies like Trinamool Congress and DMK.

The problem is with only diesel. Petrol companies are currently not bearing any loss – the report also said.