The prices of petrol and diesel have been again increased with effect from midnight February 15 as state-owned oil companies have declared a hike of Rs. 1.5 on petrol and 45 paisa on diesel in the National Capital. It must be noted that the mentioned price hike does not include the local sales tax or VAT, which after adding will come as sky- touching for daily commuters. Finally, in Delhi, the petrol will now cost Rs. 69.05, reporting a hike of Rs. 1.79 per litre, whereas the diesel prices have reached Rs. 48.16 per litre with an increase of 51 paisa.
It must be noted that the central government revised the petrol prices on January 18 by bringing down the petrol prices by 25 paisa per litre, which enabled the oil companies to retail petrol at Rs. 67.26 per litre. Meanwhile, the diesel prices were increased by 45 paisa, which took it’s per litre costs to Rs. 47.65 in Delhi.
Reportedly, the petrol prices are revised in regulation with the steep increase in the international prices of gasoline. The international prices of gasoline or petrol have increased from USD 119.59 a barrel to USD 128.57. IOC said that the state-owned oil companies are “compelled to pass on the increase in petrol prices to consumers as they have already suffered losses on sale of petrol so far and trends in international oil market as well as rupee-US dollar exchange rate indicate continued strength.”
On the other hand, in the case of diesel prices, oil companies are provided with a complete leverage to increase it’s per litre cost in small proportions for the second time in just a month. However, IOC said that the price of crude oil has surged from USD 109.08 per barrel to USD 113.24 from the last revision of fuel prices on January 18. Confirming this statement, an official release of IOC said, “Since the last price change, the international oil prices have shown an upward trend and the crude oil price has increased from $109 a barrel to $113.24 a barrel.”