Petrol, Diesel Prices Rise For 16th Day

Share

In Mumbai and Chennai, petrol was sold at Rs 85.78 and Rs 80.95 a litre, respectively, up from Rs 85.65 and Rs 80.80 per litre on Friday. The prices are raised by 15 paisa in Kolkata, Mumbai and by 16 paisa in Chennai.

State-owned Indian Oil Corp (IOC), Bharat Petroleum Corp Ltd (BPCL) and Hindustan Petroleum Corp Ltd (HPCL) were in April 2002 given freedom to revise rates of petrol and diesel on 1st and 16th of every month based on average rate of benchmark global petroleum product prices and rupee-US dollar rates in the preceding fortnight.

The rises are blamed on an increase in oil prices to above $80 (£60) a barrel, combined with a poor exchange rate for the pound. Now, three top metro cities are charging you over Rs 71 per litre, as in Mumbai and Chennai the rates are higher than Rs 73 per litre, while Kolkata is just marginally away from joining the club of Rs 72 per litre. However, Bihar Deputy Chief Minister Sushil Kumar Modi on Sunday said that "it is a big misconception (among the people) that price of petroleum products will be reduced significantly if they are brought under GST ambit". The most expensive is the Netherlands, where drivers pay £1.47 per litre of petrol.

As the Centre has come under fire over the fuel price hike, Union Petroleum and Natural Gas Minister Dharmendra Pradhan earlier assured the public that the government will soon come out with a solution to tackle the situation.

The higher prices mean the average driver is now shelling out €100 more for petrol this year than they did over the course of last year.

The incessant hike in petrol and diesel prices has been mostly due to rise in crude oil prices and the high taxes - excise duty and VAT - levied on fuels.

New Jersey school bus collision kills student, teacher
The truck was registered to Mendez Trucking, of Belleville, and had "In God We Trust" emblazoned on the back of it. In the accident were students of the 5th class . "We also thank the first responders who did a tremendous job".

Critics of the government say fuel prices were kept in check to woo voters in the southern Indian state.

"Given that these revenue if foregone will not impact states fiscal position, we estimate that on an average, states can cut petrol prices by Rs 2.65/litre and diesel by Rs 2/litre, if the entire revenue gain was to be neutralised".

"However, if this was to happen, the state will have to forego Rs 34,627 crore of tax revenue / 0.2% of consolidated fiscal deficit of states", said Ecowrap.

Petrol and diesel prices today were hiked for the sixteenth straight day across the country.

The prices are at an all-time high.

'The outlook for fuel prices in the weeks ahead is not good, with another penny a litre expected to be added.

Share