Diesel consumers, who have paid for a 40 per cent increase in the basic price of the fuel after October 6, last year, may have some respite for the present. Union minister for petroleum and natural gas Ram Naik said he had asked the Union finance minister if the Rs 7,000 crore to Rs 8,000 crore increase in revenue collections on crude oil and petroleum products could be transferred to the oil pool account, which is roughly Rs 4,500 crore in the red. If the oil pool was comfortable, the government would have no compulsion to increase prices of petroleum products, the minister told ``The Financial Express'' on Thursday.

He reiterated that he had asked the finance minister to implement the Expert Technical Group (ETG) recommendation for bringing down tariff levels on crude oil and petroleum products. A reduction in the customs duty on crude oil alone, could set off any increase in diesel prices necessary, implying that diesel prices need not go up at all if international prices stay at current levels.

``All the decisions taken in 1997 have not been implemented,'' Ram Naik said, responding to a question on diesel prices, which are to be reviewed every 60 days in keeping with the decisions of that Cabinet meeting. The plan for dismantling APM approved in 1997, also included a progressive reduction in tariff levels along with subsidies on petroleum products.

``If the import duty on crude oil is brought down by five per cent, the diesel price need not be increased at all,'' the petroleum minister said. He did not make a definite statement on kerosene and LPG prices, but did point out that the products were heavily subsidised and someone would have to pay.