On Friday diesel and petrol prices in the country increased sharply by 28 paise and 31 paise per litre, respectively, as Oil Marketing Companies (OMCs) managed to make up for the losses incurred by deferring price increases for the previous 18 days due to state elections in West Bengal, Assam, Tamilnadu, Kerala and Puducherry.
After an 18-day break, petrol and diesel prices increased by 15 paise and 18 paise per litre on Tuesday, 19 paise and 21 paise per litre on Wednesday, and 25 and 30 paise per litre respectively on Thursday.
This diesel and petrol price increase will further affect the essential goods price as the prices are already increased due to the second wave of Covid and reduced production due to lockdowns across many areas in India.
With the rise on Friday, petrol now costs Rs 91.27 per litre and diesel costs Rs 81.73 per litre in New Delhi.
Here is the Petrol price in different cities
Diesel and Petrol prices rose across the country on Friday, but the amount differed depending on the level of local levies in each state.
Some states’ petrol prices have almost touched the Rs 100 per litre mark, though premium petrol has been hovering around that amount for some time.
It was previously stated that after state elections, OMCs may begin raising the retail price of petrol and diesel because they were losing Rs 2-3 per litre by maintaining the price line amid higher global crude and product prices.
Retail fuel rates are based on a 15-day rolling average of global refined product prices and the dollar exchange rate, according to OMCs. Global oil prices have been hovering around $66-67 per barrel in the last fortnight, higher than when gasoline and diesel prices were last updated. Crude oil prices have now risen to about $ 69 per barrel.
On April 15, the price of the two auto fuels fell by 16 paise and 14 paise per litre, respectively, after a 15-day period during which OMCs kept their prices unchanged. Fuel price revisions have been suspended since then.
After holding oil prices stable for the previous 24 days, the OMCs cut prices for the first time this year on two consecutive days – March 24 and 25. On March 30, the price was reduced once more. Following that, fuel prices remained stable for the next 15 days before dipping again on April 15. Overall, in 2021, petrol prices have decreased by 77 paise per litre, whereas diesel prices have decreased by 74 paise per litre.
Previously, the price of petrol and diesel increased 26 times in 2021, with the two auto fuels rising by Rs 7.46 and Rs 7.60 per litre so far this year.
With global oil prices hovering about $69 per barrel, OMCs may have to raise fuel prices again if the market continues to firm.