Petrol price hiked 16 paise per litre, diesel by 14 paise

Petrol price hiked 16 paise per litre, diesel by 14 paise

This led to a hike of ₹1.67 a litre on petrol while the impact on diesel was much higher at ₹7.10. With the latest development, one has to pay Rs 79.88 per litre for diesel and Rs 79.76 per litre for petrol in Delhi, making the cumulative increase on petrol and diesel prices - Rs 8.50 and Rs 10.46 per litre respectively.

Regardless, the increase in the price of diesel to the point where it now costs more than petrol caused the subject to trend on Twitter.

The government has hiked the prices across the country, which will be different at different states depending on the local taxes and VAT applied.

However, diesel is costlier than petrol only in Delhi among the four metros.

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She said: "I think it came from not really knowing what I could do to help, and this turned out to be something that I could do".

"Diesel price movement is sharper in worldwide market and if oil companies follow the global price trend, diesel prices will remain higher", an unidentified oil expert from one of the big four audit and advisory firm told IANS. Since the levy is ad valorem, the actual incidence has gone up every single time oil companies raised retail selling price in the last 18 day. Similarly, the Narendra Modi government deregulated diesel prices in 2014 soon after it came to power. Oil companies had quickly recouped the Re 1 and the government in July 2019 raised excise duty by Rs 2 a litre. Between March 16 and June 6, oil companies across the country had frozen the price hikes.

Over 66 per cent of the price component of diesel in Delhi includes central and state taxes. Oil PSUs Indian Oil Corp (IOC), Bharat Petroleum Corp Ltd (BPCL) and Hindustan Petroleum Corp Ltd (HPCL) instead of passing on the excise duty hikes to customers adjusted them against the fall in the retail rates that was warranted because of fall in global oil prices to two decade low.

As for the national capital, historical data shows that the gap between prices of the fuels has vanished over the years.

Fuel prices in India have reached an all-time high with the recent price hikes over the course of the last couple of weeks.

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