Petrol and Diesel prices increased by almost Rs. 11 per litre in India since 2011

Tuesday 19 February 2013, 10:21 AM by

Fuel prices have always played a major impetus on the lifestyle of an average Indian consumer. At present, just like quintessential amenities like bread, clothing and roof, the petrol and diesel fuels serve as one of the basic necessities for living, whose usage traces to the core of our lifelines. The 2013 Union Budget is just around the corner and most of domestic automobile owners are keeping their fingers crossed with anticipation of the Indian Government's stance on the retail values of petrol and diesel. CarTrade.com has compiled a study of price fluctuations in fuel prices witnessed during last two years (2011 and 2012) in the country.

The 2011 calendar year offered tough times for the motor vehicle owners in the country. The prices of petrol kept rising on a month-to-month basis throughout the year, while those of diesel remained steady but rose occasionally. The January month of 2011 saw petrol being sold at a cost of Rs. 58.17 per litre, while diesel continuing with its 2010 price of Rs. 37.75 per litre. The fuel price rise continued the trend with both petrol and diesel were sitting with prices of Rs. 63.37 per litre and Rs. 41.13 per litre, respectively. The year ended on a mixed note with petrol being retailed at Rs. 65.64 per litre and diesel being sold at slightly down Rs. 40.91 per litre in December 2011.

The 2012 year started in a positive way with no alterations in fuel prices even after the Union Budget. However, the domestic motor vehicle owners were left stunned when the Government of India (GoI) hiked price of petrol to Rs. 73.18 per litre in May 2012. The grief struck Indian consumers had to replan their domestic budget systems, in order to accommodate the sky high fuel prices in their routine lifestyle. The diesel prices shot as well to Rs. 50 per litre, thereby inducing nightmares to most diesel-dependent Indian industries, commercial transport companies and many other sectors. Accordingly, both petrol and diesel fuels witnessed some positive growth and climbed down from their peak prices in the beginning of second half of the year. Since, September 2012, fuel prices in India are growing steadily and creating some unavoidable problems for all domestic consumers.

Evidently, prices of petrol increased by almost Rs. 10.89, while diesel became dearer by Rs. 10.41 within a span of two years in the Indian auto market. At present, petrol and diesel fuels are offered to domestic motor vehicle owners at retail price tags of Rs. 69.06 per litre and Rs. 48.16 per litre, respectively. Most Indians are looking with anxious eyes at the imminent 2013 Union Budget, which is expected to ease off the current situation regarding fuel prices in the country.