New Delhi: Petrol and diesel prices will not be hiked from June 1 despite spurt in global oil prices, with Government today (May 27, 2004) stating it would like to wait for the outcome of a meeting of the oil cartel, OPEC, on June 3 for giving shape to a new pricing policy that has a "human face".

Petroleum Minister Mani Shankar Aiyar, speaking at an award function, indicated that the huge burden accumulated due to freeze on LPG and Kerosene prices for the last two years and petrol and diesel prices since January despite rise in cost of raw material, will be shared by all stakeholders including Government and the public sector oil companies.

In effect, this would mean a marginal increase in prices of fuels, Government cutting duties and oil companies bearing a part of the burden.

"It is my task as Minister to ensure in my sectors of responsibility the continuation of the reforms process while demonstratively ensuring sensitivity to the human consequences of decisions taken in the name of reforms," he said, adding a holistic review of the policy for fuel pricing will be done keeping in mind the sensitivities of the poorest of poor.

The oil sector was dismantled in April 2002 and oil companies given freedom to decide prices of petrol and diesel every fortnight. The next price review is due on Monday (May 31, 2004).

"The decision they (OPEC) take will show whether the recent steep rise in international oil prices is aberrant and transitory. As also whether greater stability at more moderate prices is the more likely prospect. This is such an important parameter for determining our approach to the domestic pricing of sensitive petroleum products that it must be taken into account in determining the timing, phasing and content of these (price hike) decisions," he said.