Petrol and diesel prices continue to be constant for a month in the whole of the country after excise duty nearly a month ago. Post that state governments also extended relief by reducing VAT commensurately addressing the demand of the centre. Recently Delhi also slashed VAT and likewise after the cut in VAT to 19.4 percent from the previous 30 percent, petrol price there has been slashed by Rs. 8 to now currently cost Rs. 95.41 per litre. Though there are no changes in the pricing of diesel and it continues to be at Rs. 86.67 per litre.
The last time fuel prices were revised in the country was on November 4 after the centre slashed excise duty on fuel. Consequently, petrol rates in the country were reduced by between Rs. 7-8 per litre, while diesel rates came down by Rs. 11-13 per litre. Notably, the excise duty on petrol was slashed by Rs. 5 per litre, while that on diesel the cut was by Rs. 10 per litre. This has been the biggest ever cut in excise duty.
Since mid June 2017, fuel rates in the country have been revised on a daily basis at 6 am and thus have been following a dynamic pricing model. The international rates as well as foreign exchange rate influence fuel rates in the domestic market.
International oil rates
Amid risk-off sentiment spurred in the market WTI crude after gaining to more than $68 per bbl settled lower at around $66 per barrel. The earlier gains in the oil market were fuelled on OPEC+ comments which iterated that they could swiftly adjust supply volume if the demand sees some drop owing to curbs implemented to spread the new Covid variant. Likewise, Brent crude settled with tad gains at $69.92 per bbl.