Petrol prices cut by 49 paise per litre; diesel cheaper by Rs1.21

State-run oil marketing companies (OMCs) today announced a reduction in the retail prices of both petrol and diesel on the back of a further fall in international prices of crude oil. Petrol prices were cut by 49 paise per litre while diesel prices were reduced by Rs1.21 a litre.

The reduction in rates, which will be effective from midnight tonight, comes after two consecutive hikes in fuel prices.

In a press release issued today, Indian Oil Corporation Ltd said it has decreased the retail selling price of petrol by Rs0.49 per litre in Delhi (including state levies) with corresponding decrease in other states. With this change, petrol in Delhi will cost Rs60.00 per litre, against the current Rs 60.49 now, IOC said.

IOC and the other two state-run oil marketing companies also reduced the retail selling price of diesel by Rs1.21 per litre. With this change, diesel in Delhi will cost Rs48.50 per litre (including state levies), compared with Rs 49.71 currently, with corresponding changes in other states.

Prices of petrol and diesel were last revised on 1 March 2015. Since then, the international prices of both petrol and diesel have declined.

IOC noted that the rupee-dollar exchange rate has also depreciated. The impact of both these factors warrants decrease in retail selling prices of both petrol and diesel, it added.

Following are the revised rates of petrol and diesel (with current prices in bracket) in four metros after oil firms cut prices with effect from midnight tonight:

Petrol
Diesel
Delhi
60.00 (60.49)
48.50 (49.71)
Kolkata
67.48 (67.88)
53.23 (54.31)
Mumbai
67.53 (68.04)
55.69 (57.03)
Chennai
62.75 (63.26)
51.61 (52.92)

The reduction follows two rounds of price hikes in February and March - first by Rs0.82 per litre for petrol and Rs0.61 per litre for diesel on 16 February and by Rs3.18 per litre for petrol and Rs3.09 a litre for diesel on 1 March.

Prior to these increases, petrol price had been cut on ten occasions since August 2014 and diesel six times since October 2014.

Cumulatively, petrol prices had been cut by Rs17.11 per litre in ten reductions since August and diesel by Rs12.96 a litre since its deregulation in October.

IOC said it would continue to monitor the movement of prices in international oil market and rupee-dollar exchange rate as also developing trends of the market in future price changes.