Fuel prices set to shoot up as OPEC+ extends output cut

NEW DELHI: The OPEC+ grouping of major oil-producing countries on Thursday extended the current production cuts to April, a move that is likely to send fuel prices hurtling towards new records, with petrol hitting Rs 100 per litre-mark in large parts of the country, unless taxes are reduced.
The decision dashed the government’s hope of higher production from next month, which would have eased upward pressure on pump prices and the need to cut taxes.
Hours before Thursday’s meeting of OPEC+ ministers, oil minister Dharmendra Pradhan had called upon OPEC to “fulfil its promise of price stability” by raising output. Last month, addressing the 11th IEA, IEF, OPEC symposium attended by Saudi oil minister Abdulaziz bin Salman Al Saud and OPEC secretary-general Mohammad Sanusi Barkindo, he had said artificial cuts to keep prices high would hurt demand recovery.