The oil marketing companies (OMCs) increased petrol and diesel prices on Thursday after keeping them unchanged for two consecutive days. The petrol prices were raised by 34-35 paise per litre and diesel prices were increased by 15-16 paise per litre across metros.
Accordingly, the price of petrol and diesel increased to Rs 101.54 and Rs 89.87 per litre in Delhi respectively, as per Indian Oil Corporation, the country's largest fuel retailer. In Mumbai, the petrol price hiked to Rs 107.54 per litre on Thursday. The cost of diesel advanced to Rs 97.45 a litre.
The prices of petrol and diesel are reviewed by oil marketing companies such as state-run Indian Oil (IOC), Bharat Petroleum (BPCL), and Hindustan Petroleum (HPCL) on a daily basis and any revision is implemented from 6 am in the morning.
Oil companies revise rates of petrol and diesel daily based on the average price of benchmark fuel in the international market in the preceding 15-days, and foreign exchange rates.
Fuel prices differ from state to state depending on the incidence of local taxes such as VAT and freight charges. Rajasthan levies the highest value-added tax (VAT) on petrol in the country, followed by Madhya Pradesh and Maharashtra.
(Edited by : Anshul)