Energy Department intervenes to keep petrol price increase down

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Indraprastha Gas Ltd (IGL) has raised the prices of CNG by 63 paise per kg and by Rs 1.11 per standard cubic meter for piped natural gas supplied to households for cooking purposes.

The rupee collapsed to a new lifetime low of 71.21 against the United States dollar, while petrol prices rose to a new high of Rs 86.56 a litre in Mumbai on Monday.

Diesel, too, hit a new high of Rs 75.54/litre in Mumbai and Rs 71.15 per litre in Delhi on Monday. Petrol is Rs 119.9 per litre (5.91 pound a gallon) while diesel was priced at Rs 121.8 (6.03 pound per gallon) in London. The price of petrol increased by Rs 0.31 per litre while that of diesel was hiked by Rs 0.39 per litre.

In Delhi, the fuel is cheapest among all metros and most state capitals in comparison to other cities due to lower sales tax or VAT.

Diesel rates on Monday were hiked by 39 paise a litre, the steepest increase since the daily revision in prices was introduced in mid-june 2017.

Diesel now costs ₹?75.54 per litre in Mumbai.

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Petrol is available for Rs 71.25 (111 Nepali rupees) a litre in Nepal, while diesel is sold for Rs 59.43 (95 Nepali rupees).

These prices vary significantly from state to state depending on various tax levies and cess.

Meanwhile, Maharashtra transporters, burdened with diesel price hikes for a fortnight, have threatened to agitate and increase freight rates by 10-15% if there is no control or reduction in rates.

The exchange rate has fallen to a record Rs 71 to a dollar, depreciating Rs 2.5 in a month.

With the updated prices, the petrol and diesel prices are continuing to haunt the citizens with its rising value.

Global crude oil prices have been hovering around $75 per barrel for quite some time due to several global factors, including a cut in oil production and USA sanctions against Iranian oil import.

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