Fuel prices touch record highs, petrol crosses Rs 99-mark in Mumbai
State-owned oil companies raised the prices for the first time after 66 days on May 4. Since then, they have been increased ten times.
Petrol and diesel prices touched a record high on Tuesday after domestic fuel rates were increased, reported The Indian Express.
In Mumbai, petrol crossed the Rs 99-mark. It now costs Rs 99.14 per litre, while diesel is priced Rs 90.7 in the financial capital. The price of petrol in Delhi is Rs 92.85, while diesel is selling at Rs 83.51. In Chennai, petrol costs Rs 94.54 a litre and diesel Rs 88.34, reported NDTV. The price of petrol in Kolkata is Rs 92.92 and diesel costs Rs 86.35.
This is the tenth increase since May 4, when state-owned oil companies raised the prices for the first time in 66 days. There had been no increase since February 27, a day after the Election Commission announced elections in four states and one Union Territory. In fact, prices were reduced on multiple occasions in March and April but two days after the election results were announced, the rates were increased.
Since May 4, petrol price has increased by Rs 2.45 per litre and diesel by Rs 2.78 in Delhi. The price of petrol has already crossed the Rs 100-mark in several cities of Maharashtra, Rajasthan and Madhya Pradesh. Last week, Bhopal became the first state capital to cross the Rs 100-mark. Fuel prices vary from state to state and taxes are levied on them by both central as well as the state governments.
State-run oil marketing companies, including Bharat Petroleum, Indian Oil Corporation and Hindustan Petroleum, revise the rates to align domestic fuel prices with the global crude rates. This is done taking into account any changes in the foreign exchange rates. The changes are implemented with effect from 6 am.
Meanwhile, on Tuesday, oil prices increased in the international market, continuing the gains it made the previous day. The changes came amid the reopening of the United States and European economies overcame fears of slower fuel demand in Asia that is witnessing a surge in coronavirus cases, resulting in the imposition of restrictions, according to NDTV.
Brent crude oil futures climbed by 20 cents, or 0.3%, to $69.66 (around Rs 5,086) a barrel at 8 am Indian Standard Time. West Texas Intermediate, a global oil benchmark, gained 19 cents, or 0.3%, at $66.46 (approximately Rs 4,851) per barrel.