Following a steep fall in global crude oil prices, the oil marketing companies have slashed petrol prices by Rs. 2.46 to Rs. 3.22 a litre — the second reduction this month — from Thursday midnight.
HT reported on Tuesday that oil companies were planning to reduce retail prices of petrol as the average international crude prices were on a downswing. The latest price cut is based on the average crude prices during the first fortnight of June.
Sources said there might be a further price reduction of Rs. 1 a litre, as the crude prices have fallen by 8% since then.
The oil companies have abandoned the practice of revising petrol prices on the 1st and 16th of every month and will now review prices on random dates so as to deter petrol pump dealers from building positions.
The latest price cut, along with the Rs 2.02-a-litre price reduction on June 2, have wiped out more than half the Rs 7.54-a-litre price increase that oil companies announced last month.