Diesel Price In Chennai Today

Diesel Price in Chennai

• Current diesel Price in Chennai is Rs.79.94 per Litre
• Today's diesel price in Chennai is Rs.79.94 per litre

The Price of diesel in Chennai used to be revised every two weeks or 15 days; however, under the new ‘Dynamic Fuel Pricing’ mechanism, diesel prices in chennai are revised every day. With prices changing every day, it’s important to check the Chennai diesel price as any decline in cost could save you money.

Chennai is the capital city of Tamil Nadu, known for its educational institutes, economic and cultural centres. Chennai is a rapidly growing city and is one of the most populous urban cities in India. Fuel prices in Chennai are revised daily by State-owned Oil Marketing Companies (OMCs), which is aligned with the international crude oil price. This means the diesel price in Chennai will either increase or decrease when the global crude oil price either increases or decreases, also, the exchange rate of rupee-dollar.

Oil companies such as Indian Oil, Bharat Petroleum and Hindustan Petroleum fix the diesel price in Chennai proportional with any changes in crude oil rates in the global market.

Trend of Diesel Price in Chennai for December 2020 (Rates per litre):

December – Week 1 (1 – 7):

• Diesel price in Chennai stood at Rs.77.80 per litre on the 1st of December.
• Diesel prices continued to go up, closing the week at Rs.79.18 per litre.
• The overall change in percentage was 1.77%.

December – Week 2 (8 - 14):

• Diesel price in Chennai stood at Rs.79.18 per litre on the 8th of December.
• Petrol prices were more or less stable, closing the week at Rs.79.18 per litre.
• The overall percentage change was 1.77%.

December – Week 3 (15 - 21):

• Diesel price in Chennai stood at Rs.79.18 per litre on the 15th of December.
• Diesel prices were more or less stable, closing the week at Rs.79.18 per litre.
• The overall percentage change was 1.77%.

December – Week 4 (22 - 28):

• Diesel price in Chennai stood at Rs.79.18 per litre on the?22nd of December.
• Diesel prices were more or less stable, closing the week at Rs.79.18 per litre.
• The overall percentage change was 1.77%.

December – Week?5?(29 - 31):

• Diesel price in Chennai?stood at Rs.79.18?per litre on the?29th of December.
• Diesel prices were stable, closing the week at Rs.79.18 per litre.
• The overall percentage change was 1.77%.

Trend of Diesel Price in Chennai for November 2020 (Rates per litre):

November – Week 1 (1 – 7):

• Diesel price in Chennai stood at Rs.75.98 per litre on the 1st of November, unchanged from its previous day’s closing price.
• Diesel in Chennai stayed stable and closed the week at Rs.75.98.
• There was no change or whatsoever in diesel’s pricing in Chennai.

November – Week 2 (8-14):

• Diesel price inChennai stood at Rs.75.98 per litre on the?8th of November, unchanged from its previous day’s closing price.
• Diesel stayed stable for the entire week and closed at Rs.75.98 per litre.
• There was no percentage change of diesel in Chennai.

November – Week 3 (15-22) :

• Diesel price in Chennai stood at Rs.76.52 per litre on the 22nd of November, crawling up as state-run oil marketing companies decided to hike oil prices.
• The overall percentage change of diesel in Chennai was 0.71% upwards.
• In the international oil market, prices climbed up in anticipation of an early recovery in demand following news of a third successful COVID vaccine candidate.

November – Week 4 (22-30):

• Diesel price in Chennai stood at Rs.77.80 per litre on the 30th of November, showing a steep hike as state-run oil marketing companies decided to hike oil prices.
• The overall percentage change of diesel in Chennai was 2.39% upwards.
• In the international oil market, oil prices rose due to increased demand catapulted by the possible release of COVID vaccine.

Trend of Diesel Price in Chennai for October 2020 (Rates per litre):

October – Week 1 (1 – 7):

• Diesel price in Chennai stood at Rs.76.06 per litre on the 1st of October.
• Diesel dipped to Rs.75.98 per litre and stayed stable for the entire week.
• In the international oil market, prices dropped after US President Donald Trump dismissed the speculations to provide a fourth stimulus package to boost the coronavirus-hit economy.

October – Week 2 (8 - 14):

• Diesel in Chennai stood at Rs.75.98 per litre on the 8th of October.
• Diesel price in Chennai stayed stable throughout the week closing at Rs.75.98 per litre.
• The overall performance of diesel was -0.10%, going stable.

October – Week 3 (15 - 21):

• In Chennai, a litre of diesel was retailed for Rs.75.98 at the start of the third week of October. When compared to the closing price of the previous week, there was no change in the rates.
• In the metropolitan city, the price of diesel saw no change over the week as oil companies decided against increasing the rates.
• Diesel price in Chennai closed the week at the same price with the overall performance witnessing a declining trend.

October – Week 4 (22 - 28):

• A litre of diesel was retailed for Rs.75.98 on 22nd October. There was no change in the rates when compared to the closing price of the previous week.
• The price of diesel remained stagnant in the city over the week.
• Diesel price in Chennai closed the fourth week of October at the same price with the overall performance witnessing a declining trend in the rates.

October – Week 5 (29 - 31):

• Diesel price in Chennai stood at Rs.75.98 per litre on the 29th of October, unchanged from previous day’s closing price.
• Diesel closed the month at the same price with no change whatsoever. Overall performance of diesel was -0.10%, going stable.
• Meanwhile, in the international oil market prices fell as coronavirus infections surged in the US and UK prompting renewed lockdowns and reducing demand for the oil.

Trend of Diesel Price in Chennai for September 2020 (Rates per litre):

September – Week 1 (1 – 7):

• At the start of the first week of September, a litre of diesel was retailed for Rs.78.91 per litre in Chennai. There was no change in the rates when compared to the closing price of the previous month.
• The price of diesel slipped in the metropolitan city over the week and recorded a declining trend.
• Diesel price in Chennai closed the week at Rs.78.53 per litre. This was the lowest price of the fuel for the month of September till date. The percentage change recorded in the rates stood at -0.48%.

September – Week 2 (8 to 14):

• For the month of September, diesel opened at the rate of Rs.78.91 per litre in Chennai. When compared to the previous closing rate, there was no change in the price of the fuel.
• The price of the fuel witnessed fluctuations in the first two weeks of the month and displayed a declining trend. The lowest price of the fuel was recorded on 14th September wherein it was being traded at the rate of Rs.78.17 per litre. The highest price of the fuel was Rs.78.91 per litre which was recorded on 1st and 2nd September.
• On the last day of the second week, that is on 14th September, the price of the fuel stood at the rate of Rs.77.11 per litre. The overall performance of the fuel witnessed a decline of –0.94%.

September – Week 3 (15 to 21):

• Diesel price in Chennai stood at Rs.77.96 per litre on the 15th of September, lower than its previous day’s closing price.
• Diesel closed the second week at Rs.76.90 per litre, its lowest recorded price for the month of September.
• Diesel in Chennai witnessed a drop of -2.87% in its prices.

September – Week 4 (22 – 30):

• At the start of the final week of September, a litre of diesel was retailed for Rs.76.77 in Chennai. There was a drop of 13 paise in the rates when compared to the closing price of the previous week.
• The price of diesel slipped in the metropolitan city over the week. A litre of diesel was retailed for Rs.76.30 on 27th September before declining further.
• Diesel price in Chennai closed the month at Rs.76.15 per litre. This was the lowest price of the fuel for the month of September. The percentage change recorded in the rates stood at -3.47%.

Trend of Diesel Price in Chennai for August 2020 (Rates per litre):

August – Week 1 (1 - 7):

• In Chennai, the price charged for a litre of diesel at the start of the month was Rs.78.91. Compared to the price charged on the final day of the previous month, there was no change in the rates.
• Over the opening week of the month, diesel rates didn’t see any change in the metropolitan city.
• The overall performance of diesel in the southern city of the country was stable.

August – Week 2 (8 – 14):

• At the beginning of the second week of August, a litre of diesel was being traded at the rate of Rs.78.91 in Chennai. Compared to the closing price of the previous week, there was no change in the price of the fuel.
• Throughout the month, the price of the fuel was stable and had witnessed no fluctuations.
• The price of the fuel was fixed at Rs.78.91 per litre throughout the month. The overall performance of diesel in Chennai was stable throughout the month.

August – Week 3 (15 – 21):

• At the start of the third week of August, a litre of diesel was retailed for Rs.78.91 per litre in Chennai. Compared to the closing price of the previous week, there was no change in the rates.
• Over the third week of August, the price of the fuel witnessed a lot of fluctuations. Diesel recorded its lowest price for the month till date on 17th August when oil companies charged Rs.78.86 per litre.
• Diesel price in Chennai closed the week at Rs.78.86 per litre. The fuel’s overall performance in the metropolitan city witnessed a declining trend with the percentage change being -0.06%.

August – Week 4 (22 – 31):

• The month of August opened with diesel being traded at the rate of Rs.78.91 per litre in Chennai. When compared to the previous rates, there was no change in the price of the fuel.
• The price of the fuel witnessed an almost flat rate for the rest of the month. The lowest recorded price of the fuel was Rs.78.86 per litre.
• The 4th week of August ended on 31st August wherein diesel was being traded at the rate of Rs.78.91 per litre. The overall performance of the fuel witnessed a stability in the price.

Trend of Diesel Price in Chennai for July 2020 (Rates per litre):

June – Week 1 (1 - 7):

• Diesel price in Chennai opened the first week of July at Rs.77.71 per litre. There was no change in the rates when compared to the closing price of the previous month.
• The rates of the fuel didn’t see any change until 6th of July as state-run Oil Marketing Companies (OMCs) kept the rates stagnant. On the final day of the opening week, the rates increased by 22 paise in the city and recorded its highest price for the month with a litre costing Rs.77.93.
• In the metropolitan city, the rates witnessed an inclining trend over the week. The percentage change recorded in the rates was 0.28%.

June – Week 2 (8 - 14):

• Diesel opened the second week of July at Rs.77.71 per litre in Chennai. Compared to the closing price of the previous week, there was no change in the rates of the fuel.
• The rates remained stagnant in the metropolitan city for the next three days. Oil companies increased the rates of diesel over the next few days with the fuel closing the week at Rs.78.16 per litre.
• The closing price of diesel in Chennai was the highest for the month till date. The overall performance of the fuel witnessed an inclining trend in the rates with the percentage change standing at 0.57%.

July – Week 3 (15 – 21):

• Diesel price in Chennai was Rs.78.27 per litre on 15th July. There was an incline of 11 paise in the rates when compared to the price charged on the final day of the previous week.
• Over the week, diesel rates witnessed an inclining trend in the metropolitan city. The fuel recorded its highest price for the month on 20th July when a litre cost Rs.78.65.
• In Chennai, diesel closed the week at the same price after the rates remained unchanged on the final day of the week. The percentage change recorded in the rates was 1.20%.

July – Week 4 (22 – 28):

• The price of diesel in Chennai at the start of the fourth week of July was Rs.78.27 per litre. Compared to the price charged on the final day of the previous week, there was no change in the rates.
• Diesel rates climbed by 26 paise over the week. The increase in the rates saw diesel record its highest price for the month till date on 26th July. A litre was retailed for Rs.78.91 on the mentioned date.
• Diesel price in Chennai remained unchanged over the last two days of the week and closed at Rs.78.91 per litre. The overall performance recorded an incline with the percentage change being 1.54%.

July – Week 5 (29 – 31):

• The price of diesel in Chennai was Rs.78.91 per litre on 29th July. There was no change in the rates when compared to the closing price of the previous week.
• As the rates didn’t see any change over the next two days, diesel rates closed the month at the same price.
• Diesel’s overall performance in Chennai witnessed an inclining trend. The percentage change recorded in the rates stood at 1.54%.

Trend of Diesel Price in Chennai for June 2020 (Rates per litre):

June – Week 1 (1 - 7):

• In Chennai, the southern metropolitan city a litre of diesel was retailed for Rs.68.20. There was no change in the rates when compared to the closing price of the previous month. The opening price of the fuel was the lowest for the month till date.
• Diesel rates didn’t see any change over the next six days in Chennai. The rates increased by 40 paise on 7th of June and was retailed for Rs.68.60 per litre. This was the highest price of the fuel for the month till date.
• The overall performance of diesel witnessed an inclining trend over the opening week of June. The percentage change recorded in the rates stood at 0.58% in the city.

June – Week 2 (8 – 14):

• State-run Oil Marketing Companies (OMCs) retailed a litre of diesel for Rs.69.20 on 8th of June in Chennai. Over the week, the rates of the fuel witnessed an inclining trend in the metropolitan city.
• With OMCs revising the rates on a regular basis, the rates of the fuel breached the Rs.71-mark on 12th June with a litre costing Rs.71.14 in the city.
• With diesel rates continuing to climb in the city, the fuel closed the second week of June at Rs.72.78 per litre. This was the highest recorded price of the fuel for the month till date. The percentage change recorded in the rates was 6.71%.

June – Week 3 (15 – 21):

• Diesel opened the third week of June at Rs.72.67 per litre in Chennai. There was a decline of 11 paise in the rates when compared to the closing price of the previous week.
• The rates climbed in the metropolitan city following that. Over the week, the rates jumped by Rs.3.12 per litre as state-owned Oil Marketing Companies (OMCs) hiked the rates of the fuel daily.
• In Chennai, diesel closed the week at Rs.75.79 per litre, the highest recorded price of the fuel for the month till date. The percentage change seen in the rates of diesel was 11.12% in the city.

June – Week 4 (22 – 30):

• In Chennai, a litre of diesel was retailed for Rs.76.28 on 22nd June. The rate was up by 49 paise when compared to the closing price of the previous week.
• The rates continued to climb in the metropolitan city over the final week of June as state-owned continued to increase the prices. Diesel recorded its highest price for the month on 29th June with a litre costing Rs.77.71.
• Diesel closed the week at the same price in Chennai as the rates remained unchanged on the final day of the month. The percentage change recorded in the rates stood at 13.94% with the overall performance witnessing an inclining trend.

Trend of Diesel Price in Chennai for May 2020 (Rates per litre:

May – Week 1 (1 - 7):

• Diesel price in Chennai stood at Rs.65.69 per litre on the 1st of May, unchanged from its previous day’s closing price.
• Diesel prices jumped to Rs.68.20 per litre after the Indian Government increased excise duty on petrol by a record Rs 10 per litre, and on diesel by Rs 13 per litre.
• The overall performance of diesel in Chennai was 3.82%, trending upwards.

May – Week 2 (8 - 14):

• Diesel price in Chennai stood at Rs.68.20 per litre on the 8st of May, unchanged from its previous day’s closing price.
• Diesel prices stayed stable and closed the week at Rs.68.20 per litre even after the Indian Government increased excise duty on petrol by a record Rs 10 per litre, and on diesel by Rs 13 per litre.
• The overall performance of diesel in Chennai was 3.82%.

May – Week 3 (15 - 21):

• Diesel price in Chennai stood at Rs.68.20 per litre on the 15th of May, unchanged from its previous day’s closing price.
• Diesel stayed stable for the next few days but jumped a bit, closing the week at Rs.68.33 per litre. Earlier, the Indian Government had?increased excise duty on petrol by a record Rs 10 per litre, and on diesel by Rs 13 per litre.
• The overall performance of diesel in Chennai was 4.01%, with a predictably stable month ahead.

May – Week 4 (22 - 28):

• Diesel opened the fourth week of May at Rs.68.22 per litre in Chennai. Compared to the closing price of the previous week, the rates were down by 11 paisa in the metropolitan city.
• After staying stagnant for a couple of days, the rates slipped by another three paise on 25th May. The decline in the rates saw a litre of petrol being retailed for Rs.68.20.
• The overall performance of the fuel witnessed an inclining trend with the percentage change being 3.82%.

May – Week 5 (29 - 31):

• In Chennai, diesel was priced Rs.68.20 per litre at the start of the final week of May. There was no change in the rates of the fuel when compared to what was charged on the final day of the previous week.
• The rates saw no change in the metropolitan city over the last three days of the month.
• Diesel closed the month at Rs.68.20 per litre in the city with the overall performance witnessing an incline in the rates. The percentage change recorded in Chennai was 3.82%.

Trend of Diesel Price in Chennai for April 2020 (Rates per litre):

April – Week 2 (8 - 14):

• Diesel price in Chennai stood at Rs.65.69 per litre on the 8th of April, unchanged from its previous day’s closing price.
• Diesel stayed stable for the next few days, closing the week at Rs.65.69 per litre as the state-run oil marketing companies decided against cutting rates. In the international oil market, oil prices fluctuated due to the coronavirus pandemic, diminishing demand for the oil.
• The overall performance of diesel in Chennaiwas stable.

April – Week 3 (15 -21):

• Diesel price in Chennai stood at Rs. Rs.65.69 per litre on the 15th of April, unchanged from its previous day’s closing price.
• Diesel stayed stable for the next few days, closing the week at Rs.65.69 per litre. In the international oil market, oil prices crashed two-decade low due to the COVID-19 pandemic, thereby sending ripples across countries.
• The overall performance of diesel was stable.

April– Week 4 (22 - 28):

• Diesel price in Chennai stood at Rs.65.69 per litre on the 22nd of April, unchanged from its previous day’s closing price.
• Diesel stayed stable for the next few days, closing the week at Rs.65.69 per litre as the state-run oil marketing companies decided to keep the prices stagnant. In the international oil market, oil prices crashed a two-decade low due to the COVID-19 pandemic, thereby sending ripples across countries.
• Diesel prices didn’t undergo any change in Chennai for the month of April.

Trend of Diesel Price in Chennai for March 2020 (Rates per litre):

March – Week 1 (1 – 7):

• In Chennai, diesel opened at the rate of Rs.67.84 per litre for the first week of March 2020. There was a drop of 24 paise for every litre when compared to the closing price of the previous week. This was the highest recorded rate of the fuel in Chennai for March.
• Over the week, diesel prices dropped further owing to the drop in the price of international oil prices. The drop was mostly affected by the growing concerns about the spread of coronavirus around the world. The Indian Rupee (INR) also took a hit and dropped against the US Dollar (USD).
• For the first week of March 2020, diesel closed at the rate of Rs.67.19 per litre. This was the lowest recorded price for the month till date. In Chennai, the overall performance of diesel showed a decline of -0.96% in the prices.

March – Week 2 (8 - 14):

• Diesel prices in Chennai stood at Rs.67 per litre at the start of the second week of March. There was a decline of 19 paise in the rates when compared to the closing price of the previous week. The sharp decline in the prices was accounted to Brent crude recording its biggest daily percentage fall since December 2008 on Friday as the rates fell by nearly 9 percent.
• Over the week, diesel prices were on a declining curve in the metropolitan city as international oil prices slipped due to the outbreak of coronavirus and the price war between Saudi Arabia and Russia.
• In Chennai, diesel closed the week at Rs.65.69 per litre, the lowest recorded price for the month till date. The overall performance of diesel showed a decline of 3.16% in the prices.

March – Week 3 (15 - 21):

• Diesel in Chennai stood at Rs.66.17 per litre on the 15th of March. Prices kept slumping on the next few days.
• Diesel closed the week at Rs.65.69 per litre. In the international oil market, oil prices fluctuated due to the coronavirus pandemic.
• The overall performance of diesel in Chennai was -3.16%, trending downwards.

March – Week 4 (22 - 31):

• Diesel price in Chennai stood at Rs.65.69 per litre on the 22nd of March, unchanged from its previous day’s closing price.
• Diesel closed the week at Rs.65.69 per litre after state-run oil marketing companies decided not to lower the price further. In the international oil market, oil prices fluctuated due to the coronavirus pandemic, diminishing the demand of the oil.
• The overall performance of diesel in Bangalore was -2.87%, trending downwards.

Trend of Diesel Price in Chennai for February 2020 (Rates per litre):

February – Week 1 (1 – 7):

• Diesel price in Chennai stood at Rs.69.94 per litre on the 1st of February, unchanged from its previous day’s closing price. In the international oil market, there’s been a squeeze on oil demand owing to China’s fast spreading coronavirus.
• The state-run oil marketing companies decided to cut diesel rates further. Diesel closed the week at Rs.69.33 per litre.
• The overall performance of diesel in Chennai was -0.87%, trending downwards.

February – Week 2 (8 - 14):

• Diesel price in Chennai stood at Rs.69.04 per litre on the 8th of February, marking a drop compared to its previous day’s closing price.
• In the next few days, the state-run oil marketing companies decided to cut diesel rates further. Diesel closed the week at Rs.68.36 per litre, its lowest recorded price for the month.
• The overall performance of diesel in Chennai was -2.25%, trending downwards.

February – Week 3 (15 - 21):

• A litre of diesel was retailed for Rs.68.36 in Chennai at the start of the third week of February. Compared to the closing price of the previous week, there was no change in the prices.
• After staying constant for a couple of days, the rates slipped by 5 paise for every litre in the metropolitan city. The drop in the prices saw the rates of diesel slip to its lowest for the month in Chennai.
• Diesel closed the penultimate week of the month at Rs.68.23 per litre as the rates remained constant since February 18. The overall performance of the fuel witnessed a declining trend of 2.44% in the metropolitan city.

February – Week 4 (22 - 29):

• Diesel price in Chennai stood at Rs.68.23 per litre on the 22nd of February, unchanged from the previous day’s closing price.
• Diesel prices increased a bit for the next couple of days before the oil dropping a bit to close the month at Rs.68.08 per litre, its lowest recorded price for the month of February.
• The overall performance of diesel in Chennai was -2.65%, trending downwards.

Trend of Diesel Price in Chennai for January 2020 (Rates per litre):

January – Week 1 (1 – 7):

• In Chennai, the price of diesel opened at the rate of Rs.71.84 per litre for the first week of January 2020. The price of the fuel opened at the same rate at which it closed on the previous day, i.e. on the 31st of December 2019.
• The price of Brent crude witnessed a steady hike of as much as 4% following the killing of one of the top military commanders of Iran by the US. Brent crude was being traded at the rate of Rs.4,514 per barrel in the international market. This might also result in the disrupted supply of oil in the market worldwide.
• The price of the fuel came to a close standing at the rate of the Rs.72.73 per litre for the first week of January 2020 in Chennai. This was the highest recorded price of the fuel during the week. An overall increase of 1.24% was witnessed in the performance of the fuel.

January – Week 2 (8-14):

• Diesel price opened the second week of January at Rs.72.73 per litre in Chennai. Compared to the previous week’s closing price, the rates didn’t see any change.
• The rates increased gradually over the next three days and recorded the highest for the month till date on 11 January with every litre costing Rs.73.16 in the southern metropolitan city. The increase in the prices was accounted to the turmoil in global markets due to the US-Iran standoff.
• In Chennai, the fuel closed the week at Rs.73.04 per litre as the tensions between the United States and Iran eased. Diesel’s overall performance in the city showed an incline of 1.67%.

January – Week 3 (15-21):

• Diesel price in Chennai stood at Rs.73.04 per litre, unchanged from its previous day’s closing price. However, prices dropped on the following days after the state-run oil marketing companies decided to slash rates.
• Diesel stood at Rs.72.39 per litre on the 19th of January, marking a gradual drop from its opening day’s price.
• Diesel closed the week at Rs.71.96 per litre. The overall performance of diesel in Chennai for the month of January was 0.16%, trending downwards.

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January – Week 4 (22-28):

• Diesel price in Chennai opened the fourth week of January at Rs.71.96 per litre. The rates remained unchanged from the previous week’s closing price.
• The rates of diesel dropped considerably over the week in the southern metropolitan city. The drop in the prices was accounted to growing concerns that demand for global oil will take a hit because of the impact of coronavirus on Chinese economy.
• Diesel rates closed the week at Rs.70.38 per litre after declining by Rs.1.58 since the start of the week. The closing price was also the lowest recorded price for the month till date in the city. Diesel’s overall performance showed a decline of -2.03%.

January – Week 5 (29-31):

• Diesel price in Chennai stood at Rs.70.38 per litre on the 29th of January, unchanged from its previous day’s closing price. Prices fluctuated in the international market owing to coronavirus and its effect on the Chinese economy.
• Diesel closed the month at Rs.70.06 per litre, its lowest recorded prices for the month of January.
• The overall performance of diesel in Delhi was -2.47%, trending downwards.

Also Check Diesel Price in Metro Cities

Factors Affecting Diesel Prices in Chennai

Diesel rates in Chennai include several components apart from primary factors such as crude oil price and the rupee exchange rate against the U.S. dollar. Oil companies include entry tax, freight charges, refinery charges, oil firm’s margin and logistics before fixing the final selling price of diesel in a city. Dealer commission, excise duty charged by the Union Government and the VAT or local sales tax charged by the respective State are later included to the basic cost of fuel.

While the other charges remain constant most of the time, the primary factors of crude oil price and the exchange rate of rupee-dollar have the highest impact on diesel prices in the country. Let’s understand why crude oil prices fluctuate and how it affects the fuel price in India.

• Supply and Demand: The biggest suppliers of crude oil in the global market has been the Organisation of Petroleum Exporting Countries (OPEC) and its strong allies, thereby influencing the price of crude oil in the market to a large extent. OPEC’s policies are driven by geopolitical developments in the region. Hence, any pressure on any of the OPEC member countries often leads to a shortage in supply of crude oil, which raises the crude oil price in the international market. Likewise, if there’s an increase in demand from other countries, oil prices tend to incline.
• Geopolitical: Any crisis or natural disasters often influence the crude oil price in the market as it could lead to a shortage or an increase in demand for oil. Political upheaval or tensions in the oil-producing or oil-consuming nations, there’s a huge impact on the prices of crude oil.
• Supply of Crude Oil in the Future: The biggest oil-producing and oil-consuming nations stock up huge reserves of crude oil to keep their economy healthy in the event of a price increase of crude oil. They stock up when oil prices are lower and supply it across the economy to keep prices stable.

Quarterly Diesel Price Trend in Chennai between January and March 2019

Quarterly Diesel Price Trend in Chennai Between October and December 2018

Diesel Price Trend in Chennai Between October and December 2018

• Diesel was priced at Rs.79.48 per litre on 1 October based on the ‘Dynamic Fuel Pricing’ mechanism which considers the global crude oil price and the exchange rate of the rupee and the US dollar.
• State-run oil companies revise fuel prices daily. Prices of diesel in Chennai in October continued to incline to touch record highs on the back of high crude oil prices.
• With high fuel prices, the Centre announced a reduction of excise duty of Rs.1.50 per litre and oil companies further subsidised Rs.1 per litre offering some respite to consumers.
• This reduction led to the lowest rate recorded for the month at Rs.77.16 per litre on 5 October before it rose to touch Rs.80.10 per litre on 17 October as crude oil prices touched a four-year high.
• By the end of the month, the trend in diesel prices in Chennai dropped by 1.80% because of the decline in excise duty levied on fuel in the country.
• On 1 November, the diesel price stood at Rs.78.05 per litre – the highest price recorded for the month in Chennai.
• Diesel prices in Chennai dropped over the month as crude oil prices slightly declined on the back of decline in geopolitical tensions between the US and China.
• On 30 November, diesel recorded lowest price for the month when a litre of the fuel was available in Chennai at Rs.71.60 per litre.
• The diesel price trend in Chennai in November fell sharply by 8.27% influenced by the significant drop in crude oil prices in the international market.
• The diesel rate in Chennai on 1 December stood at Rs.71.19 per litre, which was the highest rate recorded for the month.
• The global crude oil was trading around $80 per barrel early October but fell to nearly $55 per barrel late December which prompted fuel prices in the India to drop sharply.
• On 31 December, diesel was available at its lowest for the month when it was sold at Rs.66.31 per litre.
• By the end of the month, diesel had declined by 6.86% mainly due to the sharp fall in crude oil price along with the appreciation of the rupee over the US dollar.

Diesel Price Trend in Chennai between July and September 2018

Diesel Price Trend in Chennai in July 2018

• In Chennai, the revision of the rate of diesel per litre occurred on a daily basis throughout the month of July 2018.
• The USD/INR exchange rate and the price of unrefined oil have a direct influence on the pricing of diesel as crude oil is an international commodity.
• Diesel rate in the city of Chennai raised by 32 paise litre in the first week of July 2018 and by one rupee per litre in the next week because of the strengthened dollar.
• Triggered by the declining oil rates in the 3rd week, the fuel price lessened marginally at all the diesel stations in the city.
• In most cases, the highest fuel rate is observed towards the end of the month. For this month, the highest rate was noticed on the 16th since fuel prices in the city of Chennai diminished in the week 3.
• In July 2018, Chennai diesel rate were accelerated by just 0.75% under the system of dynamic fuel pricing. A rise in the fuel rate caused exclusively by the depreciated INR.
• Diesel was taxed at 28% by the State Government of Tamil Nadu and the excise duty of Rs.15.33 was imposed by the Centre this month.

Diesel Rate Trend in Chennai in August 2018

• As of 1 August 2018, the commodity was priced at Rs.71.78 per litre. The price raised to Rs.71.87 on the 3rd and Rs.72.32 a litre on the 6th.
• The commodity was valued at Rs.72.39 on the 7th. The same price tag was extended until the 16th by the fuel marketing corporations, including HPCL, BPCL and IOCL.
• In the first two weeks, the cost of unrefined oil declined by $2.5 per barrel. As a result, diesel prices in Chennai were stagnant on all the seven days of the second week and the first two days of the third week.
• The price of diesel a litre was also steady at Rs.72.77 between 17 August and 19 August and Rs.73.04 a litre between 21 August and 23 August.
• On 28 August, the price stood at Rs.73.59 a litre. The OMCs further hiked the price to Rs.73.74 a litre on the 29th, Rs.73.93 a litre on the 30th and Rs.74.23 a litre on the 31st.
• The growth rate stood at 3.41% in this month only because of the appreciation of the dollar against the rupee. No domestic elements impacted the pricing of diesel in Chennai in August.

Diesel Price Trend in Chennai in September 2018

• The poor performance of the rupee triggered a hike in diesel prices in the first seven days of September 2018 in Chennai. The price as of 1 September was Rs.74.46 a litre. It ascended to Rs.76.17 per litre on the 7th.
• The Congress Party demanded the Central Government to reduce the excise duty on diesel and petrol by calling a nationwide strike on the 10th of September.
• Unlike Karnataka, West Bengal, Rajasthan, and Andhra Pradesh, the State Government of Tamil Nadu has not reduced the sale tax on diesel.
• Therefore, all the three oil marketing enterprises continued mounting the price of diesel until the last day of the month.
• As the crude oil price accelerated to $77.88 per barrel from $72.53 per barrel and the rupee slid drastically against the dollar, diesel prices at all the fuel stations in Chennai were up by 6.20%.
• For this quarter, the lowest rate was Rs.71.12 per litre and the highest rate was Rs.79.08 a litre.
• Within a span of just three months, diesel rate in Chennai, the capital city of Tamil Nadu, was increased by Rs.8 per litre by Hindustan Petroleum, Indian Oil and Bharat Petroleum.

Quarterly Diesel Price Trend in Chennai between April and June 2018

Diesel Price Trend in Chennai in April 2018

• The Central Government decided not to revise the excise duty on diesel per litre and even the State Government of Tamil Nadu has not revised the Value-added Tax on diesel per litre in April 2018.
• Dynamic fuel pricing, a newly adopted system for revising fuel rates, announced the price of a litre diesel to be Rs.68.12 a litre on 1st in Chennai, the capital city of Tamil Nadu.
• Crude oil rates and the exchange rate will influence the pricing of diesel across Indian cities. Since the cost of crude oil per barrel climbed to $69.30, diesel price in Chennai was up 2.11% to Rs.69.56 a litre in April 2018.
• On 3rd and 4th, the fuel rate was steady at Rs.68.41 a litre. Similarly, the fuel price remained unchanged at Rs.69.56 a litre on 25th, 26th, 27th, 28th, 29th and 30th.
• For the month, the highest and lowest diesel rates stood at Rs.69.56 a litre and Rs.68.12 a litre respectively.

Diesel Price Trend in Chennai in May 2018

• The opening date price for this month stood at Rs.69.56 a litre and for the first 11 days of the month, diesel was sold at a price of Rs.69.56 a litre.
• After the second week, fuel companies such as Indian Oil, Hindustan Petroleum and Bharat Petroleum have started increasing diesel rate in Chennai in sync with the changes in the price of crude oil per barrel.
• Diesel rate in the city of Chennai was Rs.71.63 a litre on 21st and it further increased to Rs.73.07 a litre on 28th. The highest fuel price for the month stood at Rs.73.22 a litre.
• As the cost of unrefined oil per barrel increased by $6, diesel rates were increased by 4.92% in Chennai. The growth rate was more than 5% in other metro cities such as Mumbai, Kolkata and Delhi.
• Domestic factors such as excise duty and Value-added Tax were not revised in this month as well. Therefore, they had no influence on the revision of diesel rates across the city.

Diesel Price Trend in Chennai in June 2018

• Like the first two months, the Central Government charged excise duty at Rs.15.33 on diesel per litre in this month also.
• Value-added Tax is something that changes diesel rate from one city to another. Like excise duty, even Value-added Tax was not changed by the State Government of Tamil Nadu.
• As the demand for unrefined oil in overseas markets has reduced, the cost of a barrel of crude oil per barrel fell to $73.85 in June 2018. Therefore, diesel price in Chennai was decreased by 2.70%.
• Because of the same reason, diesel prices in Delhi, the national capital; Kolkata, the capital city of West Bengal; and Mumbai, the capital city of Maharashtra were decreased by Indian Oil, Hindustan Petroleum and Bharat Petroleum.
• Over the last three months, the impact of the USD/INR exchange rate was reported to be minimal. It is only the crude oil price that made diesel price to increase in April and May.
• For the whole quarter, the highest diesel rate was declared at Rs.73.10 per litre on 1st June whereas the lowest diesel rate was announced at Rs.68.12 on 1st April.

Trend in Diesel Price in Chennai between January and March 2018

Trend in Diesel Price in Chennai in January 2018

• Under the dynamic fuel pricing framework, Indian Oil revealed an opening day price of Rs.62.96 a litre, which was also the lowest price for the whole month.
• Between 1 and 31, the OMCs unstoppably hiked the diesel rate considering the performance of the exchange rate and the trends in overseas crude oil prices.
• The fuel cost was up 3.36% in Chennai on 15 since the cost of crude oil (Indian Basket) glided to $68.02 per barrel and the USD was down 0.25% to Rs.63.53 during the first half.
• No changes were made in the excise duty, the overheads of the OMCs, transportation costs, the Value-added Tax in Tamil Nadu, and the commission charged by fuel retailers.
• Internationally, the extraction and distribution of crude oil were not affected by production cuts, bad weather conditions, and the political events in oil-producing countries such as OPEC.
• The greenback was devalued 0.04% to Rs.63.53 against the local currency and the average crude oil price (Indian Basket) soared to $67.06 a barrel. As a result, the diesel rate in Chennai was up 6.49% to Rs.67.05 a litre on 31, the last day of the month.

Trend in Diesel Price in Chennai in February 2018

• On 1, the fuel rate in Chennai stayed unaffected by the Union Budget presented by the Finance Minister, who proposed to reduce the excise duty by Rs.2 a litre and other taxes by Rs.6 per litre and impose an additional levy of Rs.8 per litre.
• Since OMCs sustained to trek the fuel rates until the end of the month, interestingly, they have affirmed the highest price at Rs.67.71 a litre on 6. The next day followed the same offer.
• Neither the central tax nor the state tax nor the dealer commission nor the expense of the OMCs was altered throughout the month.
• The crude oil cost of Indian Basket this month decreased to $63.54 a barrel from $67.06 a barrel a month ago. The USD/INR accelerated to Rs.65.22.
• In the end, Indian BPCL, Indian Oil and BPCL confirmed a 2.32% price fall in the diesel price and the lowest rate of Rs.65.49 a litre on 25.
• Not only the city of Chennai, other Indian metro cities such as Delhi, Mumbai and Kolkata have experienced a huge drop since there was a reasonable fall in the demand for unrefined oil globally.

Trend in Diesel Rate in Chennai in March 2018

• The first-day price offer of diesel enhanced 0.27% to Rs.65.68 per litre, which was also retained as the lowest price for the month. It is something interesting to observe.
• Unlike the previous two months, the fuel rate was steady for a few days. For instance, an offer of Rs.66.44 a litre was made on 6 and 7 and Rs.66.32 a litre on 13 and 14 correspondingly. It is because of the stable USD/INR exchange rate.
• With the increasing demand for crude oil, the OMCs in India stretched augmenting the diesel price in Chennai throughout the month. However, at Rs.67.93 a litre, the highest rate was observed on 31.
• Though the crude oil prices have fallen in February, the fuel cost was up 3.42% to Rs.67.93 a litre this month, but the growth rate was less compared to the previous month.
• Over the last three months, the average crude oil price fell 4.86% to $63.80 a barrel, which is equivalent to 159 litres. Moreover, the INR strengthened against the base currency.
• The growth rate in the petrol price is less compared to that of in the diesel price across all the prime cities in Tamil Nadu, including its capital.

Diesel Price Calculation in Chennai

Now that we understand the factors influencing the fuel price in the country, here’s how diesel price is calculated before it’s sold in the city. Below is the breakup of the diesel price in Chennai recorded on 3 January 2019.

Diesel Price in Chennai Compared to other Metros

Diesel rates differ from city to city as well as from fuel station to fuel station. This is due to the tax rates, which vary from state to state. In Tamil Nadu, the state government levies 25% as VAT on diesel, while it charges 34% on the sale of petrol in the state. In Mumbai, diesel attracts VAT of 24%, in Kolkata, it’s 17% or Rs.7.70 per litre (whichever is higher), and in Delhi, it’s 16.75% + 25p Pollution Cess with Surcharge.

Diesel Price Vs. Petrol Price in Chennai

While the basic cost of fuel is the same for petrol and diesel, other charges lower the diesel rate. The taxes levied by the Centre as excise duty and the local sales tax or VAT charged by the respective State, are much lower than charged on the sale of petrol, making diesel prices in Chennai cheaper than petrol prices.

Is GST Applicable in Diesel?

India moved to a new taxation system known as the Goods and Service Tax (GST), which was introduced from 1 July 2017. Under this system, all goods and services were under one taxation in the country; however, five petroleum products such as diesel, petrol, crude oil, natural gas and aviation turbine fuel (ATF) were kept out of the ambit of GST.

Diesel and petrol continue to attract the Centre’s excise duty and the respective state’s local sales tax or VAT. The total tax incidence of excise duty and VAT is around 45-50% for petrol and 35-40% for diesel. Under the GST, the highest tax slab is 28%, which is comparatively lower, thereby impact the revenue earned by both the Centre and the State. The Centre could lose up to Rs.20,000 crore as revenue from the sale of fuel in the country, while the states want to keep their revenue to meet any contingency.

Also, GST is an ad valorem charge, which is levied as a percentage on the ex-factory price. This could lead to a sudden leap in retail prices whenever refinery gate rates are hiked due to the rise in the global crude oil prices and the reverse is also a possibility.

Diesel price in Chennai FAQs

1. Is it true that oil companies revise the rates of diesel as per the dynamic pricing scheme?

   Yes, oil companies revise the rates as per the dynamic pricing scheme.

2. On what factors is the price of diesel in Chennai dependent on?

   The price of diesel is dependent on international oil rates and the value of rupee against the US dollar.

3. When did Oil Marketing Companies (OMCs) adopt the dynamic pricing scheme?

   The scheme was adopted by OMCs in the month of June 2017.

4. Which are the state-run oil companies that operate in Chennai?

   Indian Oil Corporation Limited (IOCL), Bharat Petroleum Corporation Limited (BPCL), and Hindustan Petroleum Corporation Limited (HPCL) are the state-run oil companies which operate in Chennai.

5. How was the overall performance of diesel for the month of September in Chennai?

   The overall performance of diesel in September was a declining one in the metropolitan city.

Also Check Diesel Price in NearBy Cities of Chennai

*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.