Amid lockdown situation even as the demand for auto fuel has slumped by nearly half, petrol, diesel prices are untouched by oil retailing companies for 24 straight days now. Nonetheless places including Mumbai, Bengaluru and Kolkata have witnessed changed due to VAT hike in the region.
But overall the prices of petrol and diesel remained unchanged for 24 straight days on Thursday i.e. since March 16.
In Delhi, petrol costs Rs. 69.59 per litre while diesel is priced for Rs. 62.29 per litre. The lowest price among all metros in Delhi is due to lower taxes. In Mumbai , petrol costs Rs. 69.59 per litre while diesel is priced for Rs. 76.31 per litre while for 1l of diesel you would need to give away Rs. 66.21. In Chennai, a litre of petrol will cost ₹72.28 per litre whereas diesel is now priced at ₹65.71 per litre. In Kolkata, petrol and diesel are priced for 1 litre at Rs. 73.3 and Rs. 65.62.
Fuel rates in India are following dynamic pricing model wherein prices are revised everyday based on international crude rates. Rupee dollar exchange rate also has an impact on the pricing of fuel in the country.
In international markets, oil slumped as the US inventory recorded high level nonetheless the pull back was limited as the impending OPEC and its allied members meet due today will deliberate on production cut which is seen to push up prices.
Brent crude has nearly halved in value thus far and trades at $33 per barrel.
What Oil Marketers Plan amid Falling Fuel Demand?
To tide over the crisis, oil retailers are planning on exporting refined fuel so as to make up for the inventory losses as also to keep their refineries operational. Typically as per reports, at some of the places for the containment of covid 19, district administration has asked petrol pumps to not sell fuel to those not involved in essential services.
The consumption for fuel is likely to be restored in another 10-15 days after government has nudged trucks to carry non-essential goods.