Petrol and diesel prices differ from state to state depending on the incidence of local taxes such as VAT and freight charges. (Representative image)
Petrol price crossed Rs 100-a-litre mark in Delhi after the rate was hiked yet again on July 7. Prices of petrol were hiked again by 31 to 39 paise while diesel got a hike of 16 to 23 paise on the day, taking fuel prices across the country to a historic high, according to a price notification by state-owned fuel retailers.
The increase, 36th in two months, took the petrol price in Delhi to Rs 100.25 per litre. The diesel price soared to 89.57 per litre in the national capital on the day, according to Bharat Petroleum.
With the July 7 increase in fuel prices, Kolkata also crossed the Rs 100 mark. In West Bengal’s capital, petrol price reached 100.27 per litre with an increase of 39 paise from the previous day price of Rs 99.88 per litre. Diesel price also increased by 23 paise to reach Rs 92.54 per litre.
To protests against the rising prices of petrol and diesel, fuel retailers in Kolkata will shut operations for 30 minutes on July 7, a trade body official has said. The sharp spike in the prices has also led to a massive drop in the sale of fuel in the state, West Bengal Petroleum Dealers’ Association joint secretary Prasenjit Sen has said.
Petrol earlier crossed Rs 100 a litre-mark in large cities such as Mumbai, Chennai, Bengaluru, Hyderabad and Pune.
In Mumbai, petrol price hit an all-time high of Rs 106.29 a litre, with an increase of 34 paise from the previous day price of Rs 105. 95 per litre. The city, on May 29, became the first metro in the country where petrol was being sold at over the Rs 100-a-litre mark.
The diesel price increased by 18 paise on the day to retail at Rs 97.13 per litre.
Chennai also saw an increase in petrol and diesel prices by 31 paise and 16 paise, respectively. With latest revision, the price of petrol increased to Rs 101.09 per litre, while that of diesel reached to Rs 94.10 per litre in Tamil Nadu’s capital.
Fuel prices differ from state to state depending on the incidence of local taxes such as VAT and freight charges. Rajasthan levies the highest VAT on petrol and diesel in the country, followed by Madhya Pradesh, Maharashtra, Andhra Pradesh and Telangana.
As much as 55 percent of the retail selling price of petrol in Delhi is made up of taxes (Rs 32.90 a litre excise duty collected by the central government and Rs 22.80 VAT levied by the state government). Half of the diesel price is made up of taxes (Rs 31.80 central excise and Rs 13.04 state VAT).
Diesel, the most used fuel in the country, is above that level in some places in Rajasthan, Odisha and Madhya Pradesh.
Oil companies revise rates of petrol and diesel daily based on the average price of benchmark fuel in the international market in the preceding 15 days, and foreign exchange rates.