Mumbai: Adding to worries of common man, fuel prices continue to rise in the country. The state-run oil marketing companies once again hiked the petrol and diesel prices today, making the white fuel to sell at a record high of Rs 102 for a litre in Mumbai on June 11.
A litre of petrol now costs Rs 95.85 in the national capital. While petrol has become expensive by up to 31 paise, diesel is costlier by up to 28 paise on Friday, according to Indian Oil Corporation.
Fuel prices have been soaring since the beginning of May. State-run companies resumed daily revisions on May 4 after an over 18-day halt. Since then, petrol price has risen by over Rs 6 per litre.
Petrol is retailing above the Rs 100 per litre mark in six states and union territories — Rajasthan, Madhya Pradesh, Maharashtra, Andhra Pradesh, Telangana and Ladakh.
Diesel prices have also witnessed a sharp increase in last one month. In Mumbai, a litre of diesel is being sold at Rs 94.15 for a litre. Diesel price has climbed to Rs 86.75 for a litre in Delhi on Friday.
The price of auto fuel in India depends on international crude oil prices, rupee-dollar exchange rate. Moreover, the central government and states levy various taxes — excise duty and Value Added Tax (VAT) on petrol and diesel. Dealer’s commission and freight charges are also added in the fuel price. It must be noted that petrol and diesel do not come under the purview of goods and services tax (GST).
On Monday, Union petroleum and natural gas minister Dharmendra Pradhan blamed the recent surge in global crude oil prices for the fuel price hike in India. “The prices of petroleum products have gone up. The main reason is that the price of crude oil has gone over $70 (per barrel) in the international market. This negatively impacts consumers here, as India imports 80 per cent of its oil requirement,” he said.
Oil prices slipped on Friday but were set for their third weekly rise on expectations for a recovery in fuel demand in Europe, China and the United States. Brent crude futures fell 23 cents, or 0.3%, to $72.29 a barrel at 0145 GMT, reversing most of Thursday’s climb to its highest close since May 2019. US West Texas Intermediate (WTI) crude futures slipped 22 cents, or 0.3%, to $70.07 a barrel, after climbing 0.5% on Thursday to its highest close since October 2018.