PSU oil-marketing companies slashed petrol prices by `0.65 per litre (excluding taxes) across the country due to fall in international crude prices. In Delhi, petrol price has been cut by 78 paisa per litre petrol (including local levies).
This is second reduction in petrol prices in 15 days. The cut in petrol prices would have been much more if the Indian rupee had not weakened against dollar. The international petrol price had moved down from $116 per barrel to $109 per barrel. But the value of rupee against dollar fell from `49.32 to `51.50, which made import of oil costlier.
“However, current trend is of increasing international petrol prices and further deterioration of exchange rate. These developments are being monitored closely and will impact the direction of prices in the next pricing cycle,” said Indian Oil Corporation.
On November 16, the oil companies had cut the petrol prices by `1.85 per litre without local taxes across the country.
The petrol will now cost `65.64 per litre in Delhi, `70.65 per litre in Mumbai, `70.02 a litre in Kolkata and `69.55 per litre in Chennai. The cut on Wednesday was the second roll back in petrol prices since January, 2009. Also this is the second roll back since petrol prices were deregulated in June 2010. Petrol prices were hiked four times this year and 10 times since petrol prices were decontrolled last year in June. However, the oil marketing companies are still losing on the sale of diesel, kerosene and LPG at subsidised rates.