Petrol and diesel prices: Fuel prices have not risen after May 29 when they touched record highs. Since then, it's been 33 days and 25 cuts -- some massive ones --, and yet you are shelling out more.
Petrol and diesel prices: Fuel prices have not risen after May 29 when they touched record highs. Since then, it’s been 33 days and 25 cuts — some massive ones –, and yet you are shelling out more as compared with 19-day-duration when the prices were kept on hold ahead of the Karnataka polls. Petrol and diesel prices were kept on hold from April 24 to May 13, hiked from May 14 to May 29, and cut or kept unchanged between May 30 to July 2. However, you are still paying more for fuel prices.
Let’s take the example of Mumbai, where the cuts have been maximum. During the 19-day-long hiatus, the price of petrol was Rs 82.48 a litre and diesel Rs 70.20 a litre. Today, on July 2, after regular cuts since May 29, the price of petrol is Rs 82.94 a litre and diesel Rs 71.49 a litre. So, you are paying 46 paise and Rs 1.29 a litre more respectively in Mumbai.
The 25-day cut in last 33 days could not offset a 16-day-long hike after Karnataka polls. Revisions in petrol and diesel prices are being done in tandem with international crude oil prices. When oil prices surged, fuel prices surged too and oil prices slumped, fuel prices were cut, except ahead of the Karnataka polls, when fuel prices were kept on hold even as crude oil prices were surging.
Despite mounting pressure, the government did not announce any cut in excise duty cut in the month of May. While back home, the government indicated that fuel prices could be brought under the ambit of the Goods and Services Tax (GST), in Vienna, Oil Minister strongly pitched for “responsible oil pricing” to the oil cartel Organization of the Petroleum Exporting Countries (OPEC).
On June 22, OPEC agreed on a modest increase in oil production from July after its leader Saudi Arabia persuaded arch-rival Iran to cooperate amid calls from major consumers to help reduce the price of crude and avoid a supply shortage.