PETROL AT 4YR HIGH OF ₹73.73; DIESEL HITS AN ALLTIME PEAK

NEW DELHI: The price of petrol in Delhi hit a four-year high of ₹73.73 on Sunday, while diesel rates touched an all-time high of ₹64.58 amid a surge in crude oil prices following production curbs by the Organization of the Petroleum Exporting Countries and high demand.

In Lucknow, the price of petrol saw an increase of 8 paise and stood at Rs 75.25/litre.

The price of petrol in the national capital was the highest since September 14, 2014, when the rate had hit ₹76.06. The previous high for diesel was ₹64.22 on February 7, 2018. State-owned oil firms have been revising fuel prices daily since 2017. The oil ministry had sought a reduction in excise duty on petrol and diesel to cushion the impact of rising international oil rates but the government did not move on it. After a ₹2/litre reduction in excise duty last year, the Centre had asked states to lower VAT but only Maharashtra, Gujarat, Madhya Pradesh and Himachal Pradesh cut rates. Others ignored the call.

The government had between November 2014 and January 2016 raised excise duty on petrol and diesel on nine occasions to take away gains arising from plummeting global oil prices. In all, duty on petrol rate was hiked by ₹11.77 per litre and that on diesel by ₹13.47 a litre in those 15 months.

India has the highest retail prices of petrol and diesel among South Asian nations as taxes account for half of the pump rates.

Indian Oil Corp director (refineries) BV Rama Gopal said the roll-out of Euro-VI grade petrol and diesel did not impact the oil prices. Though massive investments had been made to supply the improved fuel, Gopal said, Delhi consumers were not being passed on any of the additional cost of production for now.