The changes in fuel prices are applicable with effect from Thursday midnight.
Following the decision, the petrol price in the national capital would be Rs 71.02/litre while that in Kolkata and Mumbai would be Rs 78.07 and Rs 78.04 per litre respectively.
The price of diesel in Delhi will be Rs 53.10 per litre. In Mumbai and Kolkata, the rates would be Rs 60.08/litre and Rs 57.49 per litre respectively.
The reduction comes on back of a Rs 3.05 per litre (Rs 3.66 after including VAT) cut in rates effected from October 1.
Prior to that, petrol prices had since June risen seven times, totalling Rs 10.80 per litre, excluding VAT (Rs 13.06 after including state tax) as the rupee depreciated sharply against the rupee.
Meanwhile, the hike in diesel price is the 10th since the January 17 and most of the losses on diesel sales should have been wiped out by now to make the fuel market priced. But the fall in rupee, around 25 per cent since April, has worsened the situation and losses mounted to Rs 14.50 per litre.
However, the recent firming of rupee against US dollar and monthly increases have trimmed these losses to Rs 9.58. Diesel rates have risen by a cumulative Rs 5.95 this year.
(With PTI Inputs)