Petrol and diesel prices, which surged to record highs on May 29, have been cut mostly in last 50 days as international crude oil prices slumped due to various geopolitical factors.
Petrol, diesel prices: Fuel prices have witnessed a big reduction for the second day in a row as both petrol prices and diesel prices were cut by 15 paise per litre each on Saturday. Petrol prices on Friday were cut by 16 paise. Fuel prices, which surged to record highs on May 29, have been cut mostly in last 50 days as international crude oil prices slumped due to various geopolitical factors.
The petrol price in Delhi today is Rs 76.47 a litre and diesel price is Rs 68.08 a litre. The prices in Mumbai are Rs 83.91 a litre and Rs 72.28 a litre for petrol and diesel respectively. In Chennai and Kolkata, the prices are Rs 79.43 a litre and Rs 71.90 a litre, and Rs 79.27a litre and 70.71 litre respectively. The fuel prices are applicable from 6 AM on July 21.
Even as fuel prices have been cut for almost two months now in the range of 1 paisa-45 paise, the issue of high price continues to be criticised. On Friday, during the no-confidence motion against the ruling party under the leadership of Narendra Modi, high fuel prices were used to criticise the government. The government hiked excise duty on petrol and diesel when international oil prices started to fall in 2014 which, it said, was used for infrastructural development.
As international crude oil prices, despite falling from $80 a barrel, continue to stay above $70, fuel prices in India as well, despite falling from record highs, continue to remain higher as compared to the beginning of the year. To keep fuel prices in check, there has been a demand of bringing petrol and diesel under the ambit of Goods and Services Tax (GST), however, the GST Council seems non-committal in taking the issue up any time soon. Moreover, the initial blueprint of fuel under the GST suggests that it is unlikely to make much difference in the pricing.