New Delhi: Petrol and diesel prices were increased again on Friday, March 25, after a day’s pause which was followed by two straight hikes. Fuel rates were hiked by ₹ 2.40 per litre in just four days.
Petrol in Delhi will now cost ₹97.81 per litre as against ₹97.01 previously while the diesel rate has gone up from ₹88.27 per litre to ₹89.07/litre, according to a price notification by Indian Oil Corporation.
In Mumbai, petrol price has been increased by 84 paise to ₹112.51 while in Chennai prices went up by 76 paise to ₹103.67. In Kolkata, rates increased to ₹107.18 from ₹106.34 (84 paise hike).
The diesel price hike in Mumbai was 85 paise per litre. Mumbai’s diesel rates stand at ₹96.70/litre.
Rates differ from state to state depending on the incidence of local taxes. The rates were held steady for over four months despite the spike in crude oil prices. The rate revision had ended on March 22.
Petrol Prices on March 25, 2022
Diesel Prices on March 25, 2022
The petrol and diesel rates had been on a freeze since November 4 — a period during which the cost of raw material (crude oil) soared by $ 30 per barrel.
The rate revision was expected soon after assembly elections ended on March 10 but it was put off.
State-run oil refiners such as Indian Oil, Bharat Petroleum, and Hindustan Petroleum revise the fuel rates on a daily basis, by taking into account the crude oil prices in the international markets, and the rupee-dollar exchange rates. Any changes in petrol and diesel prices are implemented with effect from 6 am every day.
India is 85 per cent dependent on imports to meet its oil needs and, the domestic petrol and diesel prices are linked to international rates.
According to CRISIL Research, a hike of ₹ 15-20 per litre is required to fully pass the increase in international oil prices.
Globally, oil continued to slide a little, as the United States and allies considered releasing more oil from storage to cool markets. Brent crude falling 0.22 per cent to $118.77 per barrel and U.S. crude down 0.5 per cent to $111.74 a barrel.
Oil companies are now recouping the losses. According to a report by Moody’s Investors Services, India’s top fuel retailers IOC, BPCL and HPCL together lost around $ 2.25 billion ( ₹19,000 crore) in revenue for keeping petrol and diesel prices on hold during elections in five states.