NEW DELHI: Reflecting the changing international benchmark rates for the two automobile fuels, the price of diesel has been increasing faster than that of petrol. Since the beginning of this year, the price of petrol has increased by ₹3.5 a litre while diesel has spiked by ₹4.8 a litre.
The changing price equation is also narrowing the price gap between petrol and diesel in metro cities.
In Delhi, a litre of petrol costs ₹72.17 and a litre of diesel ₹67.54. In Mumbai, petrol costs ₹77.80 a litre and diesel ₹70.76. In Chennai, petrol costs ₹74.95 a litre and diesel ₹71.38.
In states like Goa and Odisha, diesel already costs more than petrol.
State-run fuel retailers use a complex formula involving a 15-day average of crude oil prices and the exchange rate of rupee against the US dollar.
In the international market, crude oil prices rose today, buoyed by output cuts by the Organization of the Petroleum Exporting Countries (OPEC) and reports that the United States and China are close to a deal to end a bitter tariff row that has slowed global economic growth, Reuters reported.
Brent futures were trading above $65.36 a barrel while US West Texas Intermediate (WTI) crude futures were close to $56 per barrel.
In the last three months, the price of Brent has increased by about 5%.