Petrol and Diesel Rate Today in Delhi, Bangalore, Chennai, Mumbai, Lucknow: Petrol, diesel prices continue to remain unchanged on Monday (27 December) in most cities across the country. Currently, petrol rate in Delhi is Rs 95.41 per litre while diesel in the national capital is retailing at Rs 86.67 per litre. In Mumbai, a litre of petrol and diesel is retailing at Rs 109.98 and Rs 94.14, respectively. Fuel prices have remained stagnant since the Centre cut excise duty early last month to bring down retail rates from record highs. It has been more than 50 day now since petrol and diesel prices have seen any changes, except in Delhi where petrol prices fell on December 1 after the Kejriwal government reduced the Value-Added Tax (VAT) on petrol from 30% to 19.40%.
Public sector oil marketing companies (OMCs) OMCs including Bharat Petroleum Corporation Ltd (BPCL), Indian Oil Corporation Ltd (IOCL) and Hindustan Petroleum Corporation Ltd (HPCL) revise the fuel prices daily in line with benchmark international price and foreign exchange rates. OMCs have neither raised nor reduced petrol and diesel rates in last one-and-a-half months even as international oil prices remained volatile with benchmark Brent crude plunging below $70 a barrel on November 30 from $84.78 on November 9. Any changes in petrol and diesel prices are implemented with effect from 6 am every day. Retail petrol, diesel prices differ from state to state on account of local taxes like VAT or freight charges.
Petrol, diesel prices in Chennai, Kolkata, Bengaluru, Lucknow, Noida, Gurugram
Mumbai: Petrol price– Rs 109.98 per litre, Diesel price – Rs 94.14 per litre
Delhi: Petrol price – Rs 95.41 per litre, Diesel price – Rs 86.67 per litre
Chennai: Petrol price – Rs 101.40 per litre, Diesel price – Rs 91.43 per litre
Kolkata: Petrol price – Rs 104.67 per litre, Diesel price – Rs 89.79 per litre
Hyderabad: Petrol price – Rs 108.20 per litre, Diesel price – Rs 94.62 per litre
Bengaluru: Petrol price – Rs 100.58 per litre, Diesel price – Rs 85.01 per litre
Lucknow: Petrol price – Rs 95.02 per litre, Diesel price – Rs 86.56 per litre
Thiruvananthapuram: Petrol price – Rs 106.65 per litre, Diesel price – Rs 93.47 per litre
Noida: Petrol price – Rs 95.51 per litre, Diesel price – Rs 87.01 per litre
Gurugram: Petrol price- Rs 95.90 per litre, Diesel price- Rs 87.11 per litre
The fuel prices across key cities were collectively revised on November 4 after the Central government cut excise duties on petrol and diesel to bring down their retail rates from their record high gains. The government reduced excise duty on petrol by Rs 5 per litre and that on diesel by Rs 10 a litre on November 3 to give relief to consumers from record-high retail fuel prices. The centre also urged states to cut VAT on the two auto fuels, following which several states announced VAT cuts. In a cabinet meeting chaired by Delhi CM Arvind Kejriwal on December 1, a decision was taken to reduce the Value-Added Tax (VAT) on petrol prices to 19.40%, bringing down the price by Rs 8.56 per litre.
Crude Oil Update
Crude oil prices continue to struggle as traders grew more concerned about the demand impact as fast increase in omicron cases and another report showing inflation running hot are likely to dampen risk appetite, which is reflected in thinning trading volumes ahead of the year-end holiday season. Also, unseasonal warm weather in Asia is potentially softening demand for fuels toward heating and power generation. The consumption scenario appears to be deteriorating as China, the biggest importer of crude, limits holiday travel to contain COVID. Currently, Omicron is a number one variable for demand on a daily basis, said Navneet Damani, Vice President – Commodity & Currency Research, Motilal Oswal Financial Services.
As for OPEC+, it stands ready to act should the situation necessitate which will continue to backstop prices for now. The cartel latest forecast clearly shows that growth of demand for the crude oil in next few years ahead: in next 25 years, says the OPEC+, the global demand will grow by 17.6%. In the OECD countries, however, the data shows a decline in growth by 7.6% that could be accounted for by anticipated growth of renewables. The IEA expects global oil inventories to swell early next year as supplies remain abundant with the OPEC ramping up output, some key consumers planning sales from strategic reserves, and record production from the U.S., Canada and Brazil next year.
At the same time, it seems that the oil selloff that began among fund managers last month is slowing down. The situation with oil futures right now is such that funds may be about to start buying again. It will all depend on Omicron and possible lockdowns. Risk of more infections is high and therefore trend remains on downside for WTI prices to touch levels of $66-67 levels in coming weeks, he added.