Petrol crosses Rs 80/litre in Delhi, Diesel price at highest ever
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Petrol crosses Rs 80/litre in Delhi, Diesel price at highest ever

On the other hand, the price of petrol rose to Rs 87.77 per litre in Mumbai, while diesel is being sold at 76.98 per litre.

india Updated: Sep 08, 2018 22:23 IST
HT Correspondent with Agencies
HT Correspondent with Agencies
Hindustan Times, New Delhi
fuel prices,hike in fuel prices,petrol price today
Fuel prices have yet again witnessed a fresh hike, with petrol being sold at a record high rate of Rs. 80.38 per litre in New Delhi, and diesel at Rs 72.51 per litre.(Bloomberg Photo)

The price of petrol crossed the Rs 80 per litre mark in the capital on Saturday for the first time ever as fuel prices continued a record-setting run precipitated by a fall in the value of the rupee and rising global crude oil prices. The price of diesel too rose to an all-time high.

On Saturday, petrol was priced at Rs 80.38/litre, up 39 paise from the day before, and diesel was Rs 72.51 per litre, up 44 paise, according to the price notification issued by state fuel retailers.

The costliest petrol being sold in India was in Mumbai, where it was priced at Rs 87.77 per litre.

Retail prices of fuels vary depending on local taxes, dealer commissions and the costs incurred in transporting them from refineries.

The rising price of fuel has triggered anger at the union government, which has said the trend was due to factors beyond its control. Opposition parties have called for a Bharat Bandh on Monday to protest against the rise.

In addition to being a sensitive political issue, rising fuel prices and the factors behind it threaten the government’s fiscal arithmetic. According to figures released by the Reserve Bank of India on Friday, India’s current account deficit expanded to 2.4% of GDP in the June quarter from 1.9% in the three-month period before due to the price of crude oil.

Higher prices of diesel, the fuel used in trucks, also threaten to push up inflation, which could in turn force the central bank to raise interest rates.

For now, the government has been non-committal on calls to cut taxes.

The Centre currently levies a total excise duty of Rs 19.48 per litre of petrol and Rs 15.33 per litre on diesel.

The Central government had raised excise duty on petrol by Rs 11.77 a litre and that on diesel by Rs 13.47 a litre in nine instalments between November 2014 and January 2016 to shore up finances as global oil prices fell, but then cut the tax just once in October last year, by Rs 2 a litre.

First Published: Sep 08, 2018 13:32 IST