Petrol and diesel prices increased by 80 paise a litre each on Tuesday, the first hike since November, PTI reported.
India’s state-run oil companies have not raised prices since November 4, a move observers attributed to the Assembly elections in the states of Uttar Pradesh, Punjab, Uttarakhand, Manipur and Goa. The Narendra Modi government had then cut excise duty on petrol by Rs 5 per litre and that on diesel by Rs 10 a litre to bring down rates from record levels.
Higher fuel prices could have led to protests and harmed the Bharatiya Janata Party’s chances of winning the polls.
A litre of petrol in Delhi will cost Rs 96.21 and diesel will be sold at Rs 87.47 on Tuesday. In Mumbai, India’s financial capital, the price of petrol rose to Rs 110.82 per litre, while diesel price went up to Rs 95.
The price of petrol in Chennai is Rs 102.16, while diesel cost Rs 92.19. In Kolkata, a litre of petrol rose to Rs 95.52, while diesel rates increased to Rs 89.32.
LPG price up by Rs 50
On Tuesday, domestic cooking gas price or LPG was also increased by Rs 50 per cylinder, PTI reported, citing unidentified officials. The LPG rate was last revised on October 6.
In Delhi and Mumbai, an LPG cylinder will cost Rs 949.50, while in Kolkata a customer has to pay Rs 976, CNBC-TV 18 reported. In Chennai, it will cost Rs 965.50 and in Lucknow, it is priced at Rs 987.50.
The rise in prices came as global crude prices are soaring after Russian invasion of Ukraine. Higher costs are detrimental to India as it imports 85% of its crude oil.
State-run oil marketing companies, including Indian Oil Corporation, Bharat Petroleum and Hindustan Petroleum, revise the rates to align domestic fuel prices with the global crude rates.
Oil prices have already risen more than 60% this year, according to PTI. To make matters worse, the Indian rupee has tumbled to a record low of Rs 77 to a dollar and can hurt the country’s finances amid growing concern about inflation.