Petrol price crosses Rs 80 per litre in Delhi, Rs 87 in Mumbai
Fuel prices in Delhi hit all-time highs due to rising global oil rates; diesel price rises to Rs 72.51 in Delhi, Rs 76.98 in Mumbai
New Delhi: Petrol prices crossed Rs 80 a litre in New Delhi on Saturday to hit an all-time high on the back of rising global crude oil prices. Petrol prices at retail outlets hit Rs 80.30 per litre in the national capital, against Rs79.99 on Friday, according to the price notification issued by state-owned fuel retailers.
In Mumbai, the transportation fuel is selling at Rs 87.77, after hitting Rs 87.39 on Friday.
In Mumbai, a litre of petrol costs Rs 87.77 while diesel costs Rs 76.98. In Delhi, petrol costs Rs 80.03 and diesel Rs 72.51. In Bengaluru, petrol is priced at Rs 83.0 and diesel at Rs 74.84. In Chennai, it is Rs 83.54 and diesel Rs 76.64, while in Kolkata, it is Rs 83.27 and diesel Rs 75.36.
The price of petrol was on Saturday raised by 39 paise a litre and diesel by 44 paise per litre, according to the notification.
Petrol and diesel prices are revised daily by state-run oil firms at 6 am. Fuel prices in Delhi are the cheapest among all metros and most state capitals due to lower taxes. Mumbai has the highest tax rates among metros.
Opposition parties have announced a nationwide strike across the country on Monday over high taxes imposed by the government on fuel prices.
Since mid-August, petrol prices have risen by Rs 3.24 a litre and diesel by Rs 3.74 a litre as the rupee touched a record low against the dollar, making imports costlier. This is the biggest increase in rates in any fortnight since the daily price revision was introduced in mid-June last year. Almost half of the retail selling price of the two fuels is made up of central and state taxes.
The Centre currently levies an excise duty of Rs 19.48 per litre on petrol and Rs 15.33 per litre on diesel. On top of this, states levy value-added tax (VAT).
Mumbai has the highest VAT of 39.12% on petrol, while Telangana levies the highest VAT of 26% on diesel. Delhi charges a VAT of 27% on petrol and 17.24% on diesel.
The central government had raised the excise duty on petrol by Rs 11.77 a litre and that on diesel by 13.47 a litre in nine installments between November 2014 and January 2016. The duty was reduced just once in October last year, by Rs 2 a litre.
Crude oil on Friday posted in biggest weekly decline since July as a rout in emerging markets raised concerns about weakening energy demand. Brent for November settlement rose 33 cents to $76.83 on the ICE Futures Europe exchange. West Texas Intermediate for October delivery fell 2 cents to settle at $67.75 a barrel on the New York Mercantile Exchange. Prices ended the week down 2.9 per cent in the biggest weekly drop since mid-July.
Every dollar increase in crude oil prices raises India’s import bill by around Rs 10,700 crore on an annual basis. India imports 80% of its crude oil requirements. Elevated oil prices affect the trade deficit as well as the current account deficit. High oil prices also put pressure on the margins of oil marketing companies.
(With agency inputs)
Editor's Picks »
- Future Retail’s Q2 result shows improvement in same-store sales
- Private insurance firms grow at the expense of LIC stuck with a sick bank
- Page Industries’s lofty valuations get a reality check in Q2
- Q2 results: Grasim’s Vodafone Idea stake is proving costly
- How Vodafone Idea’s $3.5 bn fundraising will impact telecom in India