"Petrol prices cut by another 15 paise in Delhi today. Almost two rupees down from its price 14 days ago. Likewise substantial reduction in diesel price as well. Also reflect Brent crude, petrol and diesel prices declining from their peak and steadying," Economic Affairs Secretary Subhash Chandra Garg said on microblogging site Twitter.
Here are 10 things to know about petrol and diesel prices today:
1. With effect from 6 am, Tuesday, June 12, petrol prices were at Rs 76.43 per litre in Delhi, Rs 79.1 per litre in Kolkata, Rs 84.26 per litre in Mumbai and Rs 79.33 per litre in Chennai, according to Indian Oil Corporation. Diesel prices were at Rs 67.85 a litre, Rs 70.4 a litre, Rs 72.24 a litre and Rs 71.62 a litre in Delhi, Kolkata, Mumbai and Chennai respectively.
|Petrol price (in Rs. per litre)||Diesel price (in Rs. per litre)|
2. Since May 29, the last day of hikes in fuel prices, petrol prices have been brought down by Rs 2 per litre in Delhi, Rs 1.96 per litre in Kolkata, Rs 1.98 per litre in Mumbai and Rs 2.1 per litre in Chennai. During this period, diesel prices have been decreased by Rs 1.46 per litre in Delhi and Kolkata each, Rs 1.55 per litre in Mumbai and Rs 1.56 per litre in Chennai.
Petrol prices cut by another 15 paise in Delhi today. Almost two rupees down from its price 14 days ago. Likewise substantial reduction in diesel price as well. Also reflect Brent crude, petrol and diesel prices declining from their peak and steadying.Subhash Chandra Garg (@SecretaryDEA) June 12, 2018
3. That marks some relief in fuel prices compared with the prices last month.
4. From May 14 to May 29, petrol prices were increased by Rs 3.8 a litre in Delhi, Rs 3.74 a litre in Kolkata, Rs 3.76 per litre in Mumbai and Rs 4 per litre in Chennai. Diesel prices were hiked by Rs 3.38 a litre, Rs 3.23 a litre, Rs 3.59 a litre and Rs 3.62 a litre in Delhi, Kolkata, Mumbai and Chennai respectively.
5. Petrol and diesel prices in the country are determined broadly by global crude oil prices and the rupee-dollar foreign exchange rate.
6. In the international market, crude oil prices were little changed on Tuesday as markets awaited the outcome of a summit between US President Donald Trump and North Korean leader Kim Jong Un in Singapore. Brent crude futures, the international benchmark for oil prices, were trading near $76.50 per barrel. In oil market fundamentals, however, not all things point to higher prices, with output from the three biggest producers, Russia, the US and Saudi Arabia on the rise.
7. The rupee recovered 8 paise to close at 67.42 against the US dollar on Monday, snapping two consecutive sessions of decline. The rupee had touched an intraday high of 67.28 before giving up some gains.
8. Domestic petrol and diesel sales rose to record highs in May, pushing the country's overall fuel consumption for the month higher year-on-year, according to official data. Last month, domestic petrol and diesel prices touched record peaks at 2014 highs in many cities, on the back of a surge in global crude oil rates around $80 per barrel and weakness in the rupee below 68 against the US dollar.
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|Diesel price in |
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9. Industry body Assocham said that bringing down taxes is the best solution to check the spurt in fuel prices. "It will make India's exports competitive, bring down current account deficit and we may also no longer see the rupee depreciating," Assocham Secretary General D S Rawat said. Assocham suggested the Centre to bring oil products within the ambit of GST so that India's fuel prices match international rates.
10. Oil Minister Dharmendra Pradhan had said in May that the government is in discussion to find a resolution. The government will "take the common man into consideration and come up with short-term and long-term solutions", he had said. Previously, he had said petroleum products should be brought under GST so that consumers can get the benefit of price rationalisation. (With agency inputs)