Petrol, Diesel Prices Hiked For Fourth Time In 5 Days
In four increases, petrol and diesel prices have gone up by Rs 3.20 a litre
Mumbai: The prices of petrol and diesel were hiked for the fourth time in five days on Saturday by around 80 paise per litre.
According to the price notification of state fuel retailers, the price of petrol in Delhi will now be Rs 98.61 per litre from Rs 97.81 per litre, while the price of diesel has increased from Rs 89.07 per litre to Rs 89.87.
All the four hikes have been made at 80 paise per litre since the end of the four-and-a-half-month long gap in the rate revision on March 22. The increase is the sharpest in a day since the daily price correction began in June. 2017.
Meanwhile, in Mumbai, petrol prices have risen to ₹113.35 per litre, whereas diesel will now cost ₹97.55 per litre.
In four increases, petrol and diesel prices have gone up by Rs 3.20 a litre.
In states like Uttar Pradesh and Punjab, prices were stagnant since November 4, ahead of the assembly elections – a period during which the price of raw materials (crude oil) rose by around USD 30 per barrel.
The rates were expected to be revised soon after the assembly elections ended on March 10, but were deferred.
Oil companies, which did not revise petrol and diesel rates for a record 137 days, despite an increase in crude oil (raw material for fuel production) rising to USD 117 per barrel compared to around USD 82 in early November, are now passing on to consumers the required increase in stages.
According to Kotak Institutional Equities, oil companies “will need to increase the prices of diesel by Rs 13.1-24.9 per liter and on gasoline (petrol) by Rs 10.6-22.3 per litre.”
Crisil Research said that if the average crude oil price rises to USD 110, the average price will be Rs 9-12 per barrel for complete pass-through of crude and an increase of 15-20 a litre hike if the average crude oil price rises to USD 110-120.
India is 85 per cent dependent on imports for meeting its oil needs and so retail rates adjust accordingly to the global movement.
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