Fuel prices hiked by 35 paise after crude flares to $59/barrel

NEW DELHI: Petrol and diesel prices on Thursday climbed to fresh highs in the country as rates were hiked by the most in recent times.

Petrol and diesel price was hiked by 35 paise per litre each af ter a gap of a week, according to price notification of stateowned fuel retailers.

The increase took petrol prices to a fresh high of Rs 86.65 a litre in Delhi and to Rs 93.20 in Mumbai. Diesel rates touched Rs 76.83 in Mumbai and an alltime high of Rs 83.67.

Mukesh Kumar Surana, CMD of Hindustan Petroleum Corporation Ltd (HPCL), said there has been a sudden spike in international oil prices to USD 59 per barrel in the last 2-3 days.

He said only 25-30% of the retail pump rates are dependent on international benchmark cost and the rest are central and state taxes. "We probably have no choice but to pass on the variation (in benchmark cost) to the consumer," he said. "The government has taxation handle."

The excise duty levied by the Central government makes up for Rs 32.98 per litre of the price of petrol in Delhi and sales tax or VAT of the state government constitutes Rs 19.55.