Oil Marketing Companies (OMCs) for the second consecutive day on Saturday increased the price of fuel across four states in India. As per the website of IOC, petrol was retailing at a price of Rs. 77.23 per litre in Delhi, Rs. 84.67 per litre in Mumbai, Rs. 80.18 per litre in Kolkata and Rs. 80.23 per litre in Chennai. While diesel was being sold for Rs. 68.71 per litre in Delhi, Rs. 72.94 per litre in Mumbai, Rs. 71.55 per litre in Kolkata and Rs. 72.57 per litre in Chennai.
Of all the metro cities, petrol is sold at the lowest rate in New Delhi due to the lower VAT or sales tax. On May 29, petrol price has scaled to an all-time high price of Rs. 78.43 for a litre and since then declined. Also, on the same day, diesel price reached a record high of Rs. 69.30 per litre.
In light of the high fuel prices, several times demand for reduction in excise duty on petrol and diesel has been triggered but the government ruled out any such cut with immediate effect. The government charges a total excise duty of Rs. 19.84 and Rs. 15.33 per litre on petrol and diesel respectively.
Since mid-June last year, petrol and diesel price in India is being revised on a daily basis at 6 am in line with the international dynamic pricing model.
Internationally crude oil prices on Friday surged by over 1% as sanctions by the US against Iran raised fears of supply tightening.