Petrol Price in Trivandrum (3rd December 2020)

Petrol Price in Trivandrum

The Trivandrum metropolitan city is the capital city of Kerala and  nation's main hub for IT sector.

 The city contributes largely over 50 percent of software exports from the state. Residence to plenty of temples and educational facilities, in the recent past the population of the city has grown massively. Most of the public transport network system is operated by both state-owned and private buses in the city. Auto rickshaws and taxi cabs are also large tourist transportations. But two-wheelers and four-wheelers have now become a major transportation automobile in the city. With the rising population and also means of transport Trivandrum is relying on fuel to help its economy and transportation facility. In Trivandrum most of the fuel stations are operated by State-owned oil marketing firms such as Indian Oil, Bharat Petroleum, and Hindustan Petroleum. The price of petrol in Trivandrum is modified regularly and it's crucial to recognise how the price of petrol is calculated. The analysis below offers insights into the different factors that affect the city’s petrol price. 

Modification in the price of International Crude Oil: As discussed, India buys crude oil from oil-producing countries and consequently any changes in the cost of crude oil on the international market have an influence on the petrol price of Trivandrum. The adjustment in global crude oil occurs when there are huge cuts in production, supply shortages etc. For instance, when there is a spike in availability of crude oil, there may be a case of a supply shortage, so Oil-Marketing Companies (OMCs) will also have to pay a higher price to buy the unrefined oil, which increases the price of petrol in Trivandrum. 

Rupees and Dollar Exchange Rate: As we know OMCs acquire crude oil in US dollars, any rise or contraction of the value of the dollar affects the price of the petrol. Any gratitude of the dollar value will increase the petrol price in Trivandrum as well as in other cities in a proportionate way.

Applicable tax: Some other significant factor that influences the price of petrol is the taxation. Though excise duty is charged by the central government, the states levy Value Added Tax (VAT) on fuel including petroleum products. Any adjustment in taxes would impact the price of fuel in the region. 

Dealer Commission and profits: OMCs purchase and refine these firms are adding their profitability along with other production costs and selling it to dealers around the nation. Dealers or holders of gas stations, distribute and operate the fuel station keeps a margin before supplying the product to the end user. 

Under the existing 'dynamic fuel pricing' system, the petrol price in Trivandrum is modified. Earlier, petrol prices were updated every fortnight; indeed, this method of pricing did not encourage OMCs to adjust the price in accordance with any adjustments in the price of crude oil. Thus, under the latest pricing system, the petrol price at Trivandrum is updated regularly. This helps the OMCs to overcome any adjustments in the price of international crude oil.  The existing price of petrol in Trivandrum is determined by the price of crude oil of the previous day and the exchange rate of the US dollar. Petrol rates are updated at 6 a.m. every day. 

3 ways to check the daily petrol price of Trivandrum

As the petrol price are updated regularly across all the regions of the country including Trivandrum due to the implementation of Dynamic Fuel Pricing, it is now difficult to track the correct petrol price of the city. Several methods have been developed by OMCs to monitor the price of a litre of petrol through smartphone applications, SMS services and by visiting the respective websites of oil firms of India. The procedure below will allow you to check the best and correct petrol price of the city.

Via Mobile Apps: OMCs also started mobile smartphone applications that deliver a city 's latest fuel price. Indian Oil consumers can install and access the 'Fuel@IOC' app, while Bharat Petroleum customers can use the 'SmartDrive' app and the fuel consumers of Hindustan Petroleum can use the 'MY HPCL' app to monitor current fuel prices of Trivandrum.

Via SMS: The below procedure will allow you to get the latest petrol price in Trivandrum via simple SMS service.

Indian Oil: SMS RSP dealer code and send it to 9224992249

Bharat Petroleum: SMS RSP dealer code and send it to 9223112222

Hindustan Petroleum: SMS HPPRICE dealer code and send it to 9222201122

Via official website: You can visit the specific OMCs website and Goodreturns site to check the regular fuel prices as well as the cost of one litre of fuel the previous day of the city.

How petrol price is determined in Trivandrum?

Crude oil rates, the cost of the refinery, the distributor's commission, the net profit of the OMCs, the state VAT imposed on petrol and the excise duty imposed on petrol are some of the main components which determine the retail selling price (RSP) of petrol in Trivandrum. Crude oil is traded globally in US dollar. Oil prices are influenced by international supplies and services, major countries' supply and demand, seasonal fluctuations, environmental factors, and the exchange rate of the USD against Indian Rupee. Domestically, the expense of refineries vary, and the expense of refining crude oil into petrol through oil processing corporations. A certain amount of the net profit margin on a litre of petrol supplied to retail suppliers is then introduced by Oil Marketing Companies (OMCs). The rates charged to retail petrol dealers are then imposed by both the state and central governments. In all regions of India including Trivandrum, the central excise duty tends to be the same, primarily in relation to the pricing model of petrol and the State Value Added Tax (VAT) framework for petroleum products differs among all the states. The revenue of the dealer, which is determined by the distance between the supply points and retail outlets, is another factor that slightly vary from dealer to dealer in Trivandrum and other metro areas. For petrol and diesel, as well as the location of the filling stations, the dealer's commission differs.  

GST on petrol in Trivandrum

A modern tax regime on all goods and services in India is the Goods and Services Tax (GST). Petroleum commodities have been restricted from the GST, though. Petrol and diesel tend to receive excise duty from the Centre and VAT from the State as duties. As the highest tax bracket under the GST is significantly smaller than the total excise duty and VAT, any fall in income to the Centre or the State would have an effect on the taxman. The GST is, however, not applicable to petrol.

How the petrol price is revised in Trivandrum?

With impact from 16 June 2017, petrol prices in Trivandrum are revised on a daily basis with the introduction of dynamic fuel pricing or daily price revision. The city's petrol prices were revised every fortnight before dynamic pricing, i.e. on the 1st and 16th of every month. But nowadays, Trivandrum's fuel consumers are covered on a daily basis through regular price revisions. The revised fuel price will be adjusted by 6 a.m., as per the new guidelines and the price will reflect across all the fuel stations, websites of OMCs, and mobile apps issued by particular OMCs across India. The  automated centrally-connected fuel stations will have an automatic petrol price change, non-automatic fuel stations will have to do so manually by obtaining the updated price from the particular website of the oil company. Consumers can download the smartphone apps of specific oil firms, or else they can also follow the SMS service and toll-free numbers to track the transparent petrol price of the city.   

Which Mobile app of the OMC’s is used to check the revised and accurate petrol price in Trivandrum?

Petrol and diesel rates seem to adjust on a daily basis and it is assumed that getting the correct fuel price is a dilemma as the main issue in the minds of customers is how and where we can get the transparent and updated petrol price of Trivandrum. And anyway, many oil and gas companies such as Indian Oil, Bharat Petroleum and Hindustan Petroleum have acquired various strategies such as SMS, mobile apps and customer support in order to stay tuned with the market dynamics of petrol price for the fuel consumers of Trivandrum. Fuel consumers can download the Indian oil companies' mobile software, which can be enabled and downloaded free of charge on the Google Play Store and the Apple Store. Through using the mobile applications of OMCs', fuel customers across the nation can easily track the latest price trend of petrol right from their pleasure. All the nation's major cities, including Trivandrum, are currently following the Dynamic Fuel Pricing Mechanism, which was introduced on June 17 for regular petrol price adjustments across the nation. Consequently, it is advisable to regularly monitor Trivandrum's current petrol price before going to your office or fuelling your vehicle, which will allow you to keep connected with the market dynamics of petrol. However, mobile apps encourage fuel customers to check the straightforward fuel prices on the screen of their mobile. Moreover, it is also possible to access current fuel prices through SMS services or by visiting the site of an individual oil firm, as mentioned above. Below are the mobile apps that allow you to monitor from your hands the real and straightforward petrol price of Trivandrum.