Petrol zooms to Rs86.06 a litre in Mumbai despite easing of crude prices
28 May 2018
Petrol now sells at Rs86.08 per litre in Mumbai as state-run oil marketing companies continued to hike fuel prices for the 15th straight day today despite a fall in the prices of crude oil.
In Mumbai the price of petrol was hiked by 43 paise to Rs86.08 per litre while the price of diesel was hiked by 44 paise to Rs73.64 per litre as prices of petrol and diesel continued to soar and touch new peaks each day.
Petrol prices in Delhi were increased by 44 paise to Rs78.27 per litre and that of diesel by 42 paise to Rs69.17 per litre.
Since the dynamic pricing system resumed on 14 May, petrol and diesel prices have risen by Rs3.64 and Rs3.24, respectively in Delhi.
Petroleum minister Dharmendra Pradhan had earlier said that the government will intervene to reduce prices.
Union minister Nitin Gadkari had said that subsidising petrol and diesel to bring down their retail prices will take money away from government’s social welfare schemes.
A possible drop in Venezuela's crude output after a disputed presidential election, potential US sanctions on the country as well as US' tough stance on Iran are the key driers of rising crude prices.
Opec may decide to raise oil output as soon as June due to worries over Iranian and Venezuelan supplies and after Washington raised concerns that the oil rally was going too far, and over Opec and the oil industry
Indian Oil Corporation (IOC), the country's top refiner, meanwhile, said it would turn to its traditional oil suppliers, mostly in the Middle East, if US sanctions against Iran result in supply disruptions, its head of finance said.