Fuel prices were again slashed on Friday with petrol retailing at Rs 70.92 per litre, a fall of Rs 0.40 and diesel at Rs 65.55 per litre which was a fall of Rs 0.41. In Mumbai, petrol and diesel were being sold at Rs 76.50 per litre and 68.59 per litre, respectively. In Chennai, petrol was retailing at Rs 73.57 per litre and diesel Rs 69.19 per litre. In Kolkata, petrol was sold at Rs 72.97 per litre and diesel at Rs 67.28 per litre. Petrol was retailing at Rs 69.95 a litre in Gurugram, while diesel at Rs 64.67 a litre. In Noida and Faridabad, petrol was being sold for Rs 70.65 a litre and Rs 70.22, respectively. While, diesel was retailing at Rs 64.72 a litre and Rs 64.91, respectively.
Tuesday’s price cut was the 13th straight day of reduction before international crude oil prices rebounded and the rupee fell against the dollar. Fuel prices are retailing at the lowest level since the all-time high in October. Prices were slashed by almost Rs 12 wiping off the massive hikes in two months beginning August 16. Petrol in Delhi was priced at Rs 77.14 per litre and in Mumbai it cost Rs 84.58 on August 15. Diesel on that day was priced at Rs 68.72 per litre in Delhi and at Rs 72.96 in Mumbai. Between August 16 and October 4, petrol price was hiked by Rs 6.86 per litre and diesel by Rs 6.73.
The retail selling price of petrol and diesel is dependent on the international prices of benchmark fuel and the rupee-US dollar exchange rate. This is because a large proportion of country's requirement is met through imports.
Petrol price had touched a record high of Rs 84 per litre in Delhi and Rs 91.34 in Mumbai on October 4. Diesel on that day had peaked to an all-time high of Rs 75.45 a litre in Delhi and Rs 80.10 in Mumbai.
On October 4, the government decided to cut excise duty on petrol and diesel by Rs 1.50 per litre each and asked state-owned fuel retailers to subsidise the price by another Re 1 a litre by reducing their margins. Subsequent to this, the petrol price came down to Rs 81.50 per litre in Delhi and diesel to Rs 72.95 a litre on October 5. In Mumbai, rates fell to Rs 86.97 per litre for petrol and Rs 77.45 in case of diesel.
Before the price cut, petrol in Delhi had hit an all-time high of Rs 84 per litre while diesel was at record Rs 75.45. This came down to Rs 81.50 per litre for petrol and Rs 72.95 in case of diesel.