Diesel Price in Aurangabad
The diesel prices in all parts of the country jumped to their record highs till 31 January 2018 since oil-producing countries cut their productions. Today, a barrel of Brent Crude Oil costs $70 a barrel and is expected to reach $100 a barrel by 2019. The Central Government has been urged to curb the growing diesel price by declining the central tax, according to a recent report unveiled in January 2018. Like other cities in India, the diesel price in Aurangabad is on the rise.
The primary elements of the price consist of the central tax, which is levied by the central government; the state tax, which is levied by the local government of Maharashtra; and the overall expenses expended by oil marketing firms. If you are a diesel consumer from Aurangabad, this page helps you understand the various facets of the Indian fuel retailing sector, including fuel pricing mechanism and latest developments. It is an exclusively information-oriented page. In fact, you find it advantageous.
|Also Know: Petrol Price In Aurangabad|
Analysis of Diesel Prices in Aurangabad
Today diesel price in Aurangabad is Rs.68.7 a litre, which includes taxes, OMCs expenses and costs of crude oil. The diesel price produced a growing trend for the entire month of January 2018. The price is changing every day because of dynamic fuel pricing that was adopted in India in the second quarter of June 2017. Diesel prices in Aurangabad fell in the first quarter of dynamic fuel pricing. After that, they consistently moved in an upward direction.
Here is just a brief analysis of historical fuel prices in Aurangabad between April 2017 and January 2018. For April 2017, the price of diesel was Rs.59.87 a litre, which increased to Rs.61.67 a litre on 1 May 2017. On 1 June 2017, the fuel traded at Rs.60.24 a litre. On 1 July 2017, it fell to Rs.57.44 a litre.
The fuel price further accelerated to Rs.59.87 a litre on 1 August 2017. When the diesel price in Aurangabad revised on 1 August 2017, it stood at Rs.59.87 a litre. It was sold at Rs.61.47 a litre on 1 September 2017. Further, the fuel price increased to Rs.63.32 per litre on 1 October 2017. The rate of the fuel was Rs.62.10 a litre on 1 November 2017 and was Rs.62.78 a litre on 1 December 2017.
Why are Diesel Prices fluctuating every day?
Diesel trades at different prices today owing to dynamic fuel pricing system. The system is used to revise fuel prices in Aurangabad by considering the conversion rate of the INR against the USD and crude oil rates. All diesel bunks presently in Aurangabad d use the same methodology. Moreover, a few developed countries also follow the same system currently.
Quarterly Diesel Price Trend in Aurangabad between July and September 2018
|Opening date price||Rs.72.98 a litre||Rs.73.77 a litre||Rs.76.62 a litre|
|Closing date price||Rs.73.61 a litre||Rs.76.62 a litre||Rs.80.99 a litre|
|Highest price||Rs.73.61 a litre recorded on the 31st||Rs.76.62 a litre recorded on the 31st||Rs.80.99 a litre recorded on 28th, 29th and the 30th|
|Lowest Price||Rs.72.98 a litre recorded on the 1st||Rs.73.77 a litre recorded on the 1st||Rs.76.62 a litre recorded on the 1st and 2nd|
Diesel Price Trend in Aurangabad in July 2018
- Diesel prices in Aurangabad and other cities in the country are revised on a daily basis by State-run Oil Marketing Companies (OMCs) under the dynamic fuel pricing mechanism.
- The retail selling price of diesel is arrived by including the global crude oil price and the exchange rate of the Indian currency over the U.S. dollar.
- Diesel was sold at Rs.72.98 per litre on the 1st of the month in the city which was also the lowest rate recorded during the month.
- Prices of diesel were hiked in the first and second weeks in tandem with a slight increase in crude oil price in the international market.
- In reflection to the steady trading of oil in the market, prices remained high with no reduction in rates of petrol and diesel.
- The closing diesel price in July was at Rs.73.61 per litre, an increase of 63 paise a litre when compared to the opening price.
- Diesel prices witnessed an incline of 0.86% in the month of July due to the marginal increase in crude oil prices.
Diesel Price Trend in Aurangabad in August 2018
- Diesel opened with a price of Rs.73.77 per litre on the 1st of August and declined the next day to be sold at Rs.71.11 a litre - the lowest price for the month.
- During the first and second weeks, diesel prices inclined steadily with no let up in hikes by the State-owned oil companies as they passed on the increase in crude oil prices to consumers.
- The steep incline in crude oil prices was attributed by the trade war between the U.S. and China which kept the dollar trading higher as well.
- Diesel prices in Aurangabad continued to incline sharply as there was no let up in the rise in crude oil prices in the market. Crude oil prices tend to incline on the back of a shortage in the supply of oil in the international market.
- By the end of the month, the diesel price in Aurangabad rose to touch Rs.76.62 per litre on the 30th, which was also the highest price recorded during the month.
- Diesel prices in Aurangabad in July grew by 3.84% owing to the increase in the global crude oil prices in the market.
Diesel Price Trend in Aurangabad in September 2018
- Prices were kept unchanged until the 2nd of the month, with the fuel sold at Rs.76.62 per litre. This is the lowest price in the city in September.
- The crude oil price rose to touch $80 per barrel influenced by geopolitical tensions between the U.S. and Iran after the former pulled out of the Iran nuclear deal.
- This led to a shortage in the supply of crude oil in the market prompting oil prices to touch a four-year high.
- Also, the rupee declined to its lowest when it was trading at Rs.72 over the U.S. dollar which impacted the rise in crude oil prices.
- Several states including Andhra Pradesh, West Bengal, Karnataka and Rajasthan announced a cut in the local sales tax or VAT which offered some relief to consumers.
- Diesel prices rose to touch a record high of Rs.80.99 per litre on the 28th and remained unchanged until the end of the month.
- Overall, the diesel price trend in Aurangabad in September inclined steeply by 5.71% mainly due to geopolitical tensions and the record drop in the value of the rupee over the U.S. dollar.
Quarterly Diesel Price Trend in Aurangabad Between April and June 2018
|Opening date price||Rs.70.05 a litre (As on 2nd)||Rs.71.59 a litre (As on 14th)||Rs.74.70 a litre|
|Closing date price||Rs.71.33 a litre (As on 24th)||Rs.74.76 a litre||Rs.72.85 a litre (As on 26th)|
|Highest price||Rs.71.33 a litre recorded on 24th||Rs.74.82 a litre recorded on 29th||Rs.74.70 a litre recorded on 1st|
|Lowest price||Rs.70.05 a litre recorded on 2nd||Rs.71.59 a litre recorded on 14th and 18th||Rs.72.85 a litre recorded on 26th|
Diesel Price Trend in Aurangabad in April 2018
- Diesel was available at Rs.70.05 a litre on the 2nd of the month in the city, this price is also the lowest for the month.
- Fuel prices including diesel and petrol are revised by State-owned oil marketing companies (OMCs) such as Bharat Petroleum, Hindustan Petroleum and Indian Oil.
- Diesel prices are fixed under the ‘Dynamic Fuel Pricing’ mechanism which is based on the international crude oil price and the currency exchange value of the US dollar over rupee.
- In the first and the second-week diesel prices in the city remained stable with marginal fluctuations in tandem with the variations in the crude oil rate.
- By mid-April, diesel prices in Aurangabad increased by 51 paise per litre as the crude oil rate had marginally inclined.
- The highest diesel price in the month was recorded on the 24th of the month with the fuel being sold at Rs.71.33 per litre.
- During the month the diesel price trend reflected an upward trend of 1.83% impacted by the slight increase in oil prices in the global market.
Diesel Price Trend in Aurangabad in May 2018
- Oil Marketing Companies (OMCs) kept fuel prices (diesel and petrol) untouched until the 11th of the month as the crude oil rate remained steady. The stable pricing was reflected across the country.
- On the 14th of the month, OMCs revised diesel prices and was sold at Rs.71.59 a litre as the rate of crude oil had inclined marginally. This was also the lowest price of the month.
- The Trump administration withdrew from the nuclear deal with Iran which led to speculations that supplies could be impacted. This led to a sharp increase in oil rates in the market.
- Crude oil rates rose significantly over the course of the third week and by the end of the week, prices had gone up by Rs.2.24 per litre.
- Diesel prices increased to touch an all-time high on the 29th of the month when it was sold at Rs.74.82 a litre.
- The diesel price trend in Aurangabad in May grew considerably by 4.43% influenced by the increase in oil prices amid geopolitical tensions.
Diesel Price Trend in Aurangabad in June 2018
- With crude oil prices on the high, diesel prices continued to be on the rise and on the 1st of the month, diesel was available at Rs.74.70 per litre, which is also the highest price for the month.
- During the first week of the month, diesel prices remained steady with not many variations; however, there was a slight decline in prices.
- Diesel prices in the second and third week were steady with a marginal reduction in cost as the oil price had fallen.
- The members of the Organisation of Petroleum Exporting Countries and its ally Russia met on the 22nd and agreed to increase the output of crude oil to allay fears of a possible decline in supply.
- On the 26th of the month, the lowest diesel price was recorded at Rs.72.85 a litre as the crude oil rates had declined significantly.
- By the end of the month, diesel prices had declined by 2.48% mainly due to the decline in the global crude oil rate.
Key features of Dynamic Fuel Pricing
- The dynamic fuel pricing system ensures transparency in fuel pricing.
- The price revision is done everyday at 06:00 A.M.
- Fuel pricing will be manually done by non-automated diesel bunks.
- Automated diesel bunks in Aurangabad will revise fuel rates in automatically.
- Diesel consumers are aligned to global market dynamics.
- Dynamic fuel pricing is extremely useful for oil marketing companies (OMCs) that can easily handle stock, reduce operational overheads and save time. They can easily manage cash inflows and outflows easily.
How can Fuel consumers trace the latest Diesel Price in Aurangabad?
- The current diesel price in Aurangabad can be tracked by downloading mobile applications. All the three oil-marketing companies – Indian Oil, Hindustan Petroleum and Bharat Petroleum – have developed the mobile applications to help fuel consumers get the latest price.
- Diesel consumers can make use of customer care services and SMS alert services offered by these oil marketing companies.
Diesel Price in Aurangabad today – How is that computed?
The following cost elements are added to arrive at the retail selling price of diesel in Aurangabad:
- Crude oil rates: Crude oil is presently hovering around $70 a barrel as on 31 January 2018. Market experts expect it to increase by 20-30% over the next 24 months. The cost of crude oil accounts for 30% of the retail selling price (RSP) of the fuel.
- Tax: More than 50% of the RSP is constituted by the central tax and state levies. The local government of Maharashtra taxes diesel at 25.38% as on 4 September 2017. The central tax on diesel reduced by Rs.2 per litre on 3 October 2017.
- OMC Expenses: The expenses incurred by oil marketing company (OMCs) majorly include operational overheads, freight, duties, refinery transfer price (RTP) and entry fees.
- Other Overheads: Other expenses include pollution cess and the commission charged by oil marketing companies.
Which are the influencers of the Diesel Price in Aurangabad?
The current diesel price in Aurangabad is impacted by the following domestic and overseas factors:
- INR/USD exchange rate: The Reserve Bank of India determines the INR/USD exchange rate based on interest rates, the inflation rate and the overall economic performance of the country. The diesel price increases when the USD appreciates against the INR and falls when the INR gains against the USD.
- Crude oil price: The diesel rate in Aurangabad increases when the cost of crude oil increases and falls when the cost of crude oil decreases. Many factors influence the cost of crude oil, but the major ones are production cuts by oil-producing countries and the global political moves.
- Taxes: The diesel price is affected by taxes. The central levy on diesel was declined by Rs.2 a litre on 3 October 2017 recently. So, any variations in taxes will directly affect the diesel rate in Aurangabad today. It was proposed to reduce in the Union Budget 2018.
GST vs Diesel Rates in Aurangabad
The current fuel rates in Aurangabad remain unaffected by the GST system, which was introduced in India in July 2017. The highest tax rate set by the GST Council is 28% and the lowest rate is 5%. If diesel is taxed at 28%, the fuel price will fall by a big margin. As a result, the Central Government stands to miss the major source of revenue. Recently, The GST Council has been asked to bring diesel and petrol under the GST ambit. Whether or not to include fuels under the GST purview is left at the discretion of the GST Council.
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*Disclaimer: BankBazaar makes no guarantee or warranty on the accuracy of the data provided on this page, the prevailing prices are susceptible to change and provided on an as-is basis. We accept no liability for any loss arising from the use of the data contained on this website.