Prices of petrol up Rs 4.86, diesel rises by Rs 2.23 since July

Source: The Hitavada      Date: 03 Sep 2017 09:41:28


Business Bureau,

THE petrol and diesel prices have moved up in the city compared to the prices on July 1. In the city, petrol price was being quoted at Rs 79.07 per litre on September 1, compared to the price on July 1, at Rs 74.21 per litre, a significant rise of Rs 4.86 per litre, thanks to hardening oil prices in the international market.
Similarly, the diesel price has increased to Rs 61.95 per litre compared to Rs 59.25.


The hike in petrol and diesel prices had largely gone unnoticed by the general public, said a petroleum dealer.
Oil Marketing Companies (OMCs) have introduced a daily price revision system for declaring petrol and diesel prices across the country from June 16, thus discontinuing the previous practice of declaring prices once in a fortnight.


In the new system, OMCs have linked the price of petrol and diesel according to the prevailing international crude oil prices. The rise or fall of petrol and diesel prices are instantly passed on to the petroleum dealers everyday at 6 pm. The hike in petrol and diesel prices is directly linked to the rise or fall in crude prices in the international market.
Petrol price was at Rs 78.07 a litre on June 16 in the city and it dropped to Rs 74.21 by June 30. However, rates had since gone up or down in small amounts on a daily basis, sources said.


Similarly, a litre of diesel was priced at Rs 62.12 on June 16 and it dropped to Rs 59.25 on June 30, thanks to the softening international oil prices. Since then, it has been on an upswing though the reduction in diesel rates have been on a larger number of occasions than petrol.


“Previously, everybody felt the squeeze when the rates would go up by Rs 2 or 3 per litre in one-go. Now, this has been discarded with the introduction of the daily price revision system from June 16,” sources added.