Indian Petroleum Minister Ram Naik indicated Tuesday that he was against any rollback of recent fuel price hikes, but said the final decision lay with the prime minister.
Naik said the situation that had prompted the government to increase the prices of petroleum products in late September had "adversely changed" in the past month.
The price of international crude has appreciated to 30.51 dollars, against 30 dollars a barrel when the hike was announced, while the rupee has depreciated against the dollar by more than a cent.
The rupee is currently trading at 46.50 rupees to a dollar.
As a result, India's oil import bill is expected to be 810 billion rupees (18 billion dollars) this year.
India imports about 70 percent of its oil needs.
However, Naik told reporters that any decision to reverse the 28 percent increase announced at the end of September, would be left to Prime Minister Atal Behari Vajpayee.
"The prime minister will decide," was Naik's refrain.
The minister said he would be meeting Vajpayee later in the day and would be putting "all the facts" before him.
"The prime minister has said he will take a second look ... I will give him insights," Naik said.
The final decision will be taken after discussions with cabinet members, and coalition partners, he added.
Asked whether the government was in a position to roll back the price hike, Naik cryptically replied, "the government is and is not."
The increase in prices had sparked public protests and resignation threats from members of Vajpayee's coalition cabinet -- NEW DELHI (AFP)
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