Petrol and diesel rates were cut on Tuesday as the new daily price revision entered its fifth day. State-run oil marketing companies Indian Oil, Bharat Petroleum and Hindustan Petroleum implemented a new system of petrol and diesel price revision from June 16, wherein the prices are reviewed and changed on a daily basis, instead of the fortnightly system earlier. After Tuesday's revision, the per litre rates of petrol in the four major cities were Rs 64.55 in New Delhi, Rs 67.30 in Kolkata, Rs 75.78 in Mumbai and Rs 67.04 in Chennai. Diesel rates were Rs 53.96 per litre, Rs 56.12 per litre, Rs 59.34 per litre and Rs 56.85 per litre, respectively.
Indian Oil, the country's largest fuel retailer, successfully rolled out daily price revision through its network of 26,000 plus petrol pumps from 6:00 am on June 16. Terming the daily price change system as a "win-to-all situation for consumers, industry as well as dealers", Indian Oil said the new mechanism will set new standards of transparency, encourage automation drive of petrol pumps and better stock management practices.
Petrol and diesel are deregulated in India, which means they are linked to markets rates. In the earlier system - followed before June 16 - petrol and diesel rates were revised on the 1st and 16th each month, based on international crude oil and forex rates.
"After the complete transformation of the LPG sector, dynamic fuel pricing is the first major reform of recent times in Fuel Retailing Sector. With this historic step towards transparency and customer interest, the Indian Oil & Gas industry has joined the elite league of countries like USA and Australia wherein fuel prices are revised on a daily basis," Indian Oil said, while announcing the rollout of daily price changes on June 16.
The daily price revision of petrol and diesel follows a successful pilot project in five cities - Chandigarh, Jamshedpur, Puducherry, Udaipur and Vizag - from May 1.
Meanwhile, the three oil marketing companies have come out with many initiatives to make customers aware of daily petrol and diesel rates. Various initiatives taken by the OMCs include mobile apps and SMS services. (Read more
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