On Thursday, fuel prices were raised once more as the price of petrol in Mumbai, India's financial centre, approached Rs 100. According to IOC, petrol prices have increased by 23 paise and diesel prices have increased by roughly 30 paise.
In certain parts of the country, gasoline costs have already surpassed $100. In Mumbai, petrol was priced at Rs 99.94 a litre on Thursday.
In Delhi, the price of petrol has risen to Rs 93.68 per litre, while the price of diesel has risen to Rs 84.61 per litre. In Mumbai, the price of petrol has risen to Rs 99.94 per litre, while the price of diesel has risen to Rs 91.87 per litre. In other locations in Rajasthan, Madhya Pradesh, and Maharashtra, rates had already surpassed the Rs 100 barrier, and with the current hike, the price in Mumbai was creeping closer to that level.
The impact of municipal taxes such as VAT and freight costs on fuel prices varies from state to state. Rajasthan has the country's highest value-added tax on gasoline, followed by Madhya Pradesh and Maharashtra.
One of the reasons for the increase in fuel prices is the excise tax levied by the federal and state governments.
Oil firms adjust the price of petrol and diesel on a daily basis, based on the average price of benchmark fuel in the worldwide market over the previous 15 days, as well as foreign exchange rates.