Petrol, diesel price cut only by ₹2 this month while crude oil rates halved
NEW DELHI : For the 11th consecutive day today, state-run fuel retailers chose not to decrease the prices of petrol and diesel. Brent crude oil rates have made four consecutive weekly losses and so far this month the international prices have fallen by about 45%. However, the steep decline in crude oil rates have not translated to a big drop in petrol and diesel prices.
So far this month, the price of petrol has fallen by ₹2.3 a litre while that of diesel is down by ₹2.2 a litre. Had the central government not increased the excise duty on fuel, the decline would have been sharper by ₹3.
A report by the State Bank of India (SBI) had said recently that crude at $30/barrel could potentially lower petrol and diesel prices by ₹10-12 per litre from their present prices if excise duty is not changed. Going by that estimate, fuel retailers may be having the scope of slashing prices by ₹5-7 at least.
