Inflation continues to impact fuel prices across the country amid rising crude oil prices in the international market. However, after increasing the prices for seven consecutive days, there was no change in the prices of petrol and diesel on Wednesday.
Petrol price in the national capital ₹104.44 per liter while the rate of diesel was ₹93.17 per liter as per Indian Oil Corporation.
Petrol rate in Mumbai remains on ₹110.41 per liter and on diesel ₹101.03 for one liter.
One liter of petrol will be expensive in Chennai ₹101.79 and one liter diesel ₹97.59.
Petrol rates remained in Kolkata ₹105.09 per liter while on diesel ₹96.28 per liter.
Of the four metro cities, Mumbai has the highest fuel rates, according to state-run oil refiners. Rates vary from state to state due to Value Added Tax or VAT.
State-run oil refiners such as Indian Oil, Bharat Petroleum and Hindustan Petroleum revise fuel rates on a daily basis, taking into account crude oil prices and rupee-dollar exchange rates in international markets. Any change in the prices of petrol and diesel is effective from 6 am every day.
The recent rise in global crude oil prices to $83 a barrel is troubling policymakers and consumers, as India meets more than 80% of its oil needs through imports.
The Reserve Bank of India’s Monetary Policy Committee last Friday left the repo rate unchanged at 4%, while asking the government to consider reducing taxes on petrol and diesel to help control inflation.
Rising oil prices pushed retail fuel prices up 13.63% in September compared to the year-ago period, while clothing and footwear prices rose 7.16 percent.
Economists said further fuel price hikes could put pressure on Asia’s third-largest economy, and force the government to review the fuel tax, which is now over 100% of the base price.
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