Petrol and Diesel prices to hit new record as the prices rose again on Monday. Petrol prices from Monday will be Rs.73.73 per litre while diesel prices hit all-time record with Rs.64.58 per litre. Petrol prices are highest since price hiked in September 2014 to Rs.76.06 per liter; whereas, Diesel prices are highest with earlier hike in February 2018 to Rs.64.22 per litre.
Earlier this year, the Oil Ministry sought a reduction in excise duty on petrol and diesel prices to reduce the effect of rising international oil rates, but, unfortunately, Finance Minister Arun Jaitley refused the proposal in his budget presented on February 1. Jaitley had raised excise duty nine times from November 2014 to January 2016 and reduced the tax rate by Rs.2 per litre once in October 2017.
Overall, in last 15 months, petrol rate was hiked by Rs.11.77 per litre and diesel prices by Rs.13.47 per litre that helped the Government’s excise mop up to Rs.242000 crores in the financial year 2016-17 from Rs.99000 crores in 2014-15.
Diesel will be sold at record prices across four metro cities, Mumbai, Delhi, Chennai, and Kolkata. Diesel price in Delhi and Mumbai will be Rs.64.69 per litre and Rs.68.89 per litre respectively.
State-owned fuel companies, Bharat Petroleum Corporation, Indian Oil Corporation, and Hindustan Petroleum Corporation abandoned the 15-year old practice of revising fuel prices on every 1st and 16th
of every month in June 2017 and adopted a daily price revision system reflecting price changes on daily basis.
As per the statistics, India has the highest petrol and diesel retail prices across all South Asian nations due to taxes accounting to approx. half of the rates.