Advertisement

HindustanTimes Sun,31 Aug 2014

Petrol price up by 70 paise/litre, diesel by 50 paise

HT Correspondent, Hindustan Times  New Delhi, July 31, 2013
First Published: 19:32 IST(31/7/2013) | Last Updated: 03:00 IST(1/8/2013)

With firming of international fuel prices, the state owned oil companies on Wednesday hiked petrol prices by 70 paisa per litre, the fifth increase in rates in two months, and diesel by 50 paise per litre, excluding taxes.

Advertisement

The actual increase in rates, effective from Thursday, after including local sales tax or VAT will be higher and will vary from city to city.Petrol price in Delhi will go up by 84 paisa to Rs. 71.28 per litre while it will cost Rs. 78.61 per litre in Mumbai as against Rs. 77.73 currently.

 "Since the last price change, the international price of petrol has gone up from $ 117.19 a barrel to $ 120.05 a barrel," IOC said.. This coupled with the fluctuations in the rupee dollar exchange rate hss warranted a price increase of petrol by Rs. 0.70/litre. (excluding state levies), IOC added.

This is the fifth increase in rates since June and in all petrol prices have gone up by a massive Rs. 6.82 per litre.

Oil firms had on June 1 raised prices by 75 paisa, excluding VAT, and followed it with a Rs. 2 per litre increase on June 16, a Rs. 1.82 increase on June 29 and Rs. 1.55 hike on July 15.

In a parallel move, oil companies also hiked diesel rates by 50 paisa, excluding VAT, in line with the January decision of the government allowing them freedom to raise prices in small doses every month to wipe out mounting losses.

Diesel price in Delhi has been hiked by 56 paisa to Rs. 51.40 per litre while it will cost Rs. 58.23 in Mumbai from tomorrow as compared to Rs. 57.61 currently.Today's hike in the seventh since the January 17 and all losses on diesel sales should have been wiped off by now to make the fuel market priced.

But the fall in rupee, 12% since April, has worsened the situation and oil firms are losing Rs. 9.29 per litre despite prices being raised by a cumulative Rs. 3.75 this year.

Announcing the price hikes, Indian Oil Corp (IOC), the nation's largest fuel retailer, said it will end the fiscal with a revenue loss of Rs. 1,28,500 crore on sale of diesel, domestic cooking gas (LPG) and kerosene.


Advertisement
more from New Delhi

Delhi's last working elephants: Mishandling leads to deaths, disappearance

Sanjay Bansal, 50, drives his Renault Duster across the ITO Bridge and goes down to the Yamuna banks to pray to Rupa, a 40-year-old elephant. The trader looks mesmerised as she chomps lazily at the sugarcanes he has brought with him.
Advertisement
Most Popular
Advertisement
Advertisement
Copyright © 2014 HT Media Limited. All Rights Reserved