Oil minister Veerappa Moily on Thursday said that diesel prices will be increased by 40-50 paise per litre every month.
"Until further orders, oil marketing companies can increase it (diesel price) by 40-50 paise (per litre) every month," he said, while not giving details of when the price hike would take effect.
The monthly rise in diesel rates will continue until the losses incurred by oil marketing companies are completely cut down.
This is the second hike on diesel prices to take place after the government on Jan 17 allowed oil firms to raise prices by 45 paise per litre in a move to tackle its high subsidy bill.
