Today's Diesel Price in Jharkhand

The current diesel price in Jharkhand is getting revised under the new fuel pricing system called dynamic fuel pricing. What is it? The system revises fuel prices on a daily basis in lieu of the earlier fortnightly revision. How is the revision done? Like the fortnightly revision, even the dynamic fuel pricing system, also called the daily revision, updates the diesel Costs on the basis of the variations in the INR/USD exchange rate and worldwide crude oil prices. This is the reason why the fuel is priced differently every day.

All diesel stations in Jharkhand will revise the price at 06:00 a.m. every day. The next day's price is based on the trends in crude oil rates and the INR/USD exchange rate. Any variations in these two price determinants are replicated instantly in the retail selling price, which is charged to customers. Dynamic fuel pricing system has been in practice in India since 16 June 2017. Other nations that have adopted the system include Australia, Russia and the United States of America (USA). The daily revision system has many advantages over the previous fortnightly revision, which include:

1. The system entrusts 100% transparency in fuel pricing
2. Consumers are aligned with market performances
3. Dealers face no difficulties as far as stock management is concerned
4. Dealers/intermediaries and oil marketing companies can easily and effectively manage their working capital

How to Check the Current Diesel Rates in Jharkhand?

All diesel consumers whether retail or institutional in any part of Jharkhand are advised to check the current fuel price before buying. There are so many options to trace regular prices. For instance, customers can download the mobile applications designed by all Indian oil marketing entities, which include Indian Oil, Bharat Petroleum, Hindustan Petroleum and Shell Oil. Other options offered by these companies include SMS alerts and customer care services. The latest price can also be checked online. Even the lowest fall will make a big difference to your billing amount if you are buying in huge quantities.

How are Diesel Prices in Jharkhand Computed?

Approximately 56% of the RSP goes towards taxes and the margin of dealers and the remaining 44% goes towards OMC costs. The RSP of diesel charged to dealers comprises of the central and local taxes, overheads incurred by oil marketing companies (OMCs) such as crude oil prices, refinery transfer price, entry taxes, marketing and operational overheads; the profit margin of dealers and OMCs, and pollution cess. The central excise duty charged on diesel was Rs.15.33 per litre as on 04 October 2017. The state tax imposed by the government of Jharkhand was 24.62% on diesel as on the same date.

Which are the Elements Affecting Diesel Price in Jharkhand?

Since the introduction of dynamic fuel pricing, diesel prices in Jharkhand have been changing every day. The price revision, as discussed earlier, is done based on transnational crude oil rates and the INR/USD conversion rate. Therefore, ups and downs in these two determinants have a direct impact on the RSP of diesel charged to consumers in Jharkhand. For instance, in case the value of the INR goes up against the USD, the cost of crude oil will be cheaper, leading to a fall in the RSP. Conversely, in case the USD goes up against the INR, the cost of crude oil will increase, leading to a rise in the RSP. Taxes also impact diesel rates in Jharkhand.

GST Effect on Diesel Rate in Jharkhand

The Goods and Services Tax (GST) has been imposed on all kinds of commodities and services. GST is a unified indirect tax regime introduced in July 2017. Both petrol and diesel remain uncovered under GST. Thus, the new tax system does not impact fuel prices in India. Jharkhand is no different. The implementation of GST on diesel and petrol is seen as an unfavorable move from the viewpoint of the government. Fuel rates will come down drastically. The revenue source for the government will be harmed as a result.

*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.