Petrol, diesel prices remain static as global oil prices softens

Fuel prices have remained unchanged in the country post revision of duties by the state governments and the centre providing further relief to consumers from the consistent increase in rates earlier.

Accordingly, petrol and diesel prices remained unchanged for the 10th consecutive day on Sunday under the daily price revision mechanism followed by the oil marketing companies.

The pump price of petrol in Delhi, which fell to Rs 103.97 a litre at 6 a.m. last on the Diwali day on November 4 from the previous days level of Rs 110.04 a litre, remains at the same level on Sunday. The diesel prices also remain ed unchanged in the capital at Rs 86.67 a litre.

In the financial capital Mumbai, petrol continues to be priced at Rs 109.98 a litre and diesel Rs 94.14 a litre.

Prices also remained static on Sunday in Kolkata where the price of petrol reduced by Rs 5.82 to Rs 104.67 per litre and that of diesel by Rs 11.77 to Rs 89.79 per litre in the first week of November.

Petrol price in Chennai also remained at Rs 101.40 per litre and diesel Rs 91.43 per litre.

Across the country as well, price of the fuel largely remained unchanged on Sunday but the retail rates varied depending on the level of local taxes.

The global crude prices which has touched three year high level of over $85 a barrel on several occasions in past one month has softened a bit now to a round $82 a barrel. Rise in US inventory has pushed down crude prices but OPEC+ decision on only gradual increase in production in December could raise crude prices further. This could put pressure on oil companies to revise fuel prices upwards again.

Before the price cuts and pause, diesel prices had increased on 30 out of the last 51 days taking up its retail price by Rs 9.90 per litre in Delhi.

Petrol prices have also risen on 28 of the previous 47 days taking up its pump price by Rs 8.85 per litre.

Since January 1, petrol and diesel prices have risen by more than Rs 26 a litre before the duty cuts.

The excise duty cut by the Centre on November 3 was first such exercise since the onset of Covid pandemic. In fact, government had revised excise duty on petrol and diesel sharply in March and again in May last year to mobilise a dditional resources for Covid relief measures.

The excise duty was raised by Rs 13 and Rs 16 per litre on petrol and diesel between March 2020 and May 2020 and was standing high at Rs 31.8 on diesel and Rs 32.9 per litre on petrol before finally the Centre decided on duty cut.