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Fuel rates continued to remain steady as petrol and diesel prices remained unchanged on Friday across various cities in the country. The cost of one litre of petrol in Delhi stands at ₹95.41 per litre and that of diesel at ₹86.67 per litre.
In the country's financial capital, the petrol and diesel prices have remained static at ₹109.98 per litre and ₹94.14 per litre, respectively. In Kolkata and Chennai, petrol and diesel cost ₹104.67 per litre and ₹89.79 per litre and ₹101.40 per litre and ₹91.43 per litre respectively in Chennai.
Additionally, in Bengaluru, petrol is available at ₹100.58 per litre and diesel at ₹85.01 and in Hyderabad, one litre of petrol is now available at ₹108.20 and diesel cost ₹94.62 for one litre of diesel. Prices differ from state to state, depending on the incidence of local taxes and cost of transportation.
Just last month in November, the total incidence of taxes on petrol came down to 50% and that on diesel to 40% following a reduction in excise duty by the central government, and by a slightly higher proportion in states that have also cut local sales tax or VAT on the fuel.
The retail price of petrol and diesel is decided after adding central excise, commission paid to dealers and value-added tax (VAT) to basic oil prices. The basic oil price is the prevailing international benchmark rate plus freight.
On November 1, prior to the duty cuts, central excise of ₹32.90 a litre and VAT of 30% in Delhi made up for 54% of the retail selling price of diesel, according to price build-up of the fuel available from state-owned fuel retailers. This, after the ₹5 per litre reduction in excise duty, has come down to 50% in Delhi.
Similarly, on diesel, the central excise duty of ₹31.80 per litre and 16.75% of VAT plus air ambience charges of ₹250 per kilolitre, brought the total incidence of taxation in Delhi to 48%.
This, after the ₹10 a litre cut in excise duty, has come down to 40% in Delhi. In cases that have cut VAT, the incidence will be even lower.
