Petrol Price In India Today

Petrol Rate in India:

Find the current petrol rate and factors affecting petrol prices in India. The below petrol price trend in India offers insights such as the highest and lowest petrol prices recorded during a month.

Trend of Petrol Price in India for August 2020 (Rates per litre):

August - Week 1 (1 – 7)

• Petrol price in India at the start of the first week of August was Rs.80.43 per litre. The rates didn’t see any change when compared to the closing price of the previous month.
• The price of petrol didn’t see any change over the week as state-run Oil Marketing Companies (OMCs) were against increasing or decreasing the rates.
• The overall performance of petrol in the country was stable.

Trend of Petrol Price in India for July 2020 (Rates per litre):

July – Week 1 (1 - 7)

• Petrol price in India was Rs.80.43 on 1st of July. Compared to the closing price of the previous month, there was no change in the rates.
• The Petrol rate in India remained stagnant for the next three days before recording its highest on 4th of July. A litre was retailed for Rs.80.47 on the mentioned date.
• Petrol price slipped in the country the next day before recovering and closing the first week of July at Rs.80.47 per litre. Over the week, an inclining trend was witnessed in the rates with the percentage change being 0.04%.

July – Week 2 (8 - 14)

• Petrol opened the second week of the month at Rs.80.47 per litre. This was the highest price for the month till date.
• With oil companies keeping the rates stagnant over the week, the rates didn’t see any change.
• The overall performance of the fuel saw an inclining trend in the country with the percentage change being 0.04%.

July - Week 3 (15 – 21)

• In India, petrol price at the start of the third week of July was Rs.80.47 per litre. Compared to the closing price of the previous week, the rates saw no change.
• Petrol price in the country remained stagnant over the week as oil companies refrained from making any changes to the rates.
• Petrol price in India witnessed an inclining trend with the percentage change being 0.04%.

July - Week 4 (22 – 28)

• Petrol price in India was Rs.80.47 per litre on 22nd July. There was no change in the rates when compared to the price charged on the final day of the previous week.
• The price of petrol remained stagnant in the country over the week as state-run Oil Marketing Companies (OMCs) refrained from making any changes.
• In India, petrol witnessed an inclining trend with the percentage change recorded in the rates standing at 0.04%.

July - Week 5 (29 – 31)

• At the start of the fifth week of July, petrol price in India was Rs.80.43 per litre. When compared to the price charged on the final day of the previous week, there was a drop of 4 paise in the rates.
• Oil Marketing Companies (OMCs) kept petrol rates unchanged in the country over the next two days.
• Petrol’s overall performance in India was stable over the month of July.

Trend of Petrol Price in India for June 2020 (Rates per litre):

June – Week 1 (1 - 7)

• Petrol price in India opened the month of June at Rs.71.30 per litre. Compared to the closing price of the previous month, there was no change in the rates of the fuel.
• The Petrol rates remained stagnant in the country for the first six days of the week as state-owned Oil Marketing Companies (OMCs) decided against increasing or decreasing the rates.
• Petrol closed the opening week of the month at Rs.71.90 per litre after the rates increased by 60 paise per litre. The overall performance of the fuel witnessed an inclining trend with the percentage change being 0.84%.

June – Week 2 (8 - 14)

• On 8th June, a litre of petrol was priced Rs.72.46 per litre in the country. Compared to the closing price of the previous week, there was an increase of 60 paise in the rates.
• With state-run Oil Marketing Companies (OMCs) continuing to increase the rates of the fuel, a litre of petrol was retailed for Rs.74 on 11th of June. The increase in the rates continued following that closed the week at Rs.77.78 per litre.
• The closing price of the fuel was the highest recorded price for the month till date. Petrol’s overall performance witnessed an inclining trend with the percentage change being 6.34%.

June – Week 3 (15 - 21)

• A litre of petrol cost Rs.76.26 on 15th of June in the country. Compared to the closing price of the previous week, the rates were up by 48 paise.
• The rates of petrol were on the upward trend over the week in India. A litre of petrol was retailed for Rs.77.81 on 18th June as the hike in the rates continued.
• Petrol closed the third week of June at Rs.79.23 per litre in the country. The closing price was the highest recorded price of the fuel for the month till date. The percentage change recorded in the rates was 11.18%.

June – Week 4 (22 - 30)

• A litre of petrol cost Rs.79.56 in India at the start of the final week of June. The rates increased by 33 paise when compared the price charged on the final day of the previous week.
• With Oil Marketing Companies continued to hike the rates in the country, petrol rates breached the Rs.80 mark on 26 June.
• Petrol recorded its highest price for the month of June on 29th June with a litre costing Rs.80.47. With the rates slipping for the first time since June 7, the fuel closed the week at Rs.80.43 per litre. The overall performance witnessed an inclining trend with the percentage change being 12.86%.

Trend of Petrol Price in India for May 2020 (Rates per litre):

May – Week 1 (1 - 7)

• Petrol price in India stood at Rs.69.59 per litre on the 1st of May, unchanged from its previous day’s closing price.
• Petrol stayed stable for the next few days, petrol prices jumped to Rs.71.26 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 petrol in India was 2.39%.

May – Week 2 (8 - 14)

• Petrol price in India stood at Rs.71.26 per litre on the 8th of May, unchanged from its previous day’s closing price.
• Petrol stayed stable for the next few days and closed the week at Rs.71.26 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 petrol in India was 2.39%.

May – Week 3 (15 - 21)

• In India, petrol opened the third week of May at Rs.71.26 per litre. Compared to the closing price of the previous week, there was no change in the rates of the fuel in the national capital.
• The rates slipped to Rs.71.26 per litre on 17th May after staying constant for a day. The rates recovered the next day and remained unchanged till the end of the week.
• Petrol closed the week at Rs.71.26 per litre in India. The overall performance of the fuel witnessed an inclining trend of 2.39%.

May – Week 4 (22 - 28)

• In India, a litre of petrol was priced at Rs.71.26 in the national capital at the start of the final week of May.
• When compared to the price charged on the last day of the previous week, there was no change in the rates of the fuel.
• With state-run Oil Marketing Companies (OMCs) deciding to keep the rates unchanged over the week, there was no change in the rates. The overall performance witnessed an inclining trend with the percentage change being 2.39%.

May – Week 5 (29 - 31)

• Petrol was priced at Rs.71.26 per litre on 29th May in India. There was no change in the rates of the fuel when compared to the closing price of the previous week.
• The rates didn’t see any change over the last three days of the month and closed at Rs.71.26.
• The overall performance of the fuel witnessed an inclining trend in the rates with there being a percentage change of 2.39%.

Trend of Petrol Price in India for April 2020 (Rates per litre):

April – Week 1 (1 - 7)

• Petrol price in India stood at Rs.69.63 per litre on the 1st of April, unchanged from its previous day’s closing price.
• After staying stable for the next few days, petrol slumped to Rs.69.59 per litre.In the international oil market, oil prices fluctuated due to the coronavirus pandemic, diminishing demand for the oil.
• The overall performance of petrol in India was -0.05%, trending downwards.

April – Week 2 (8 - 14)

• Petrol rate in India stood at Rs.69.59 per litre on the 8th of April, unchanged from its previous day’s closing price.
• Petrol stayed for the next few days closing the week at Rs.69.59 per litre. In the international oil market, oil prices fluctuated due to the coronavirus pandemic, diminishing demand for the oil.
• The overall performance of India in Delhi was -0.05%.

April – Week 3 (15 - 21)

• Petrol price in India stood at Rs.69.59 per litre on the 15th of April, unchanged from its previous day’s closing price.
• Petrol stayed stable for the next few days, closing the week at Rs.69.59 per litre. In the international oil market, oil prices crashed record two-decade low due to the COVID-19 pandemic, thereby sending ripples across countries.
• The overall performance of petrol in India was -0.05%.

April – Week 4 (22 -28)

• Petrol price in India stood at Rs.69.59 per litre on the 22nd of April, unchanged from its previous day’s closing price.
• Petrol stayed stable for the next few days, closing the week at Rs.69.99 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.
• The overall performance of petrol in India was -0.05%.

Trend of Petrol Price in India for March 2020 (Rates per litre):

March – Week 1 (1 - 7)

• Petrol prices in India stood at Rs.71.75 per litre at the start of the month of March. Compared to the previous week’s closing price, the rates of petrol slipped by 14 paise per litre.
• The rates for every litre dropped by 69 paise over the week in the country as crude prices in the international oil market tumbled due to concerns over the spread of coronavirus.
• Petrol closed the week at Rs.71.06 per litre with the overall performance showing a decline of 0.96% in the prices. The closing price was the lowest recorded price for the fuel over the week in the country.

March – Week 2 (8 - 14)

• For the month of March, the rates of petrol opened at the rate of Rs.71.75 per litre in India. When compared to the closing rate of the of the fuel for the previous week, a drop of 19 paise per litre in the prices of the fuel can be witnessed. The dropping rate of the fuel was mainly affected by the fall in the price of Brent crude oil. Brent crude oil has witnessed its biggest ever fall in daily price since December 2008.
• The price of the liquid gold continued to fall further, as the price of Brent crude oil dropped by almost 9% in the international market. The outbreak of the pandemic Corona virus and the price war between Saudi Arabia and Russia was also responsible for the drop in the price of the fuel.
• For the second week of the month, the price of petrol in the capital closed at the rate of Rs.69.91 per litre. This is the lowest recorded price for the month so far. The overall performance of the fuel witnessed a percentage change of –2.56%.

March – Week 3 (15 - 21)

• In India, petrol prices stood at Rs.69.79 per litre at the start of the third week of March. Compared to the previous week’s closing price, the rates were down by 12 paise for a litre.
• The rates slipped by 16 paise the next day and cost Rs.69.63 for a litre. This was the lowest recorded price of petrol in the country for the month till date. Petrol prices didn’t see any change in the prices over the week even though international oil prices continued to fluctuate.
• Petrol’s overall performance in the country witnessed a decline in the prices and recorded a percentage change of -2.95%.

March – Week 4 (22 - 31)

• Petrol price in India stood at Rs.69.63 per litre on the 22nd of March, unchanged from its previous day’s closing price.
• Petrol closed the week at Rs.69.63 per litre. In the international oil market, oil prices fluctuated due to the coronavirus pandemic, diminishing the demand of the oil.
• The overall performance of petrol in India was -2.95%, trending downwards.

Trend of Petrol Price in India for February 2020 (Rates per litre):

February – Week 1 (1 - 7)

• Petrol price in India stood at Rs.73.19 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 petrol rates further. Petrol closed the week at Rs.72.68 per litre.
• The overall performance of petrol in India was -0.69%, trending downwards.

February – Week 2 (8 - 14)

• Petrol price in India stood at Rs.72.45 per litre on the 8th of February, trending a bit lower compared to its previous day’s closing price.
• In the next few days, the state-run oil marketing companies decided to cut petrol rates further. Petrol closed the week at Rs.71.94 per litre, its lowest recorded price for the month.
• The overall performance of petrol in India was -1.07%, trending downwards.

February – Week 3 (15 - 21)

• Petrol prices in India stood at Rs.71.94 per litre on the 15 February. Compared to the previous week’s closing price, there was no change in the rates.
• The rates remained unchanged for the next couple of days before declining by 5 paise on 18 February. The drop in the prices saw every litre being retailed for Rs.71.89 in the country.
• Petrol rate closed the penultimate week of the month at the same price, which was the lowest recorded price for the month till date. The overall performance of the fuel showed a declining trend of 1.77%.

February – Week 4 (22 - 29)

• Petrol price in India opened the fourth week of February at Rs.71.89 per litre. There was no change in the rates of the fuel when compared to the previous day’s closing price.
• Petrol prices increased a bit for the next couple of days before dropping back to Rs.71.89 per litre, its lowest recorded price for the month of February.
• The overall performance of petrol in India was -1.77%, trending downwards.

Trend of Petrol Price in India for January 2020 (Rates per litre):

January – Week 1 (1 - 7)

• Petrol price in India opened at Rs.75.18 per litrefor the first week of January 2020. The rate was similar to the closing rate of the fuel on the 31st of December 2019. The prices went upwards in the following days of the week.
• A hike of more than 2% was witnessed in the Brent crude prices in the international market after the US President Donald Trump had intimidated to impose curbs on Iraq with the heated-up situation in the Middle East.
• The price of petrol stood at the rate of Rs.75.90 per litre at the end of the first week og January 2020 in India. This was also the highest recorded rate of the fuel during the week. The lowest recorded rate was on the 1st day of the week. There was an overall performance increase of 0.96% for the fuel in India.

January – Week 2 (8-14)

• Petrol price in India stood at Rs.75.80 per litre on 8 January. Compared to the previous week’s closing price, the rates dropped by 10 paise for every litre.
• The rates increased over the next few days and touched the highest for the month on 11 January with every litre costing Rs.76.07. The spike in the prices was accounted to the turmoil in global oil markets due to the standoff between US and Iran.
• Petrol price in India closed the week at Rs.75.76 per litre after slipping in the last few days of the week. The fuel’s overall performance in the capital showed an incline of 0.77% and was trending upwards.

January – Week 3 (15-21)

• In India, the rates of petrol started the third week of December at Rs.75.76 per litre. The rates didn’t see any change in the prices when compared to the previous week’s closing price.
• With international crude oil prices softening, the rates of petrol declined over the week in the country as Oil Marketing Companies (OMCs) slashed the prices.
• Petrol closed the week at Rs.74.88 per litre. This was the lowest recorded price of the fuel for the month till date. The overall performance of the fuel showed a declining trend of -0.39%.

January – Week 4 (22-28)

• Petrol price in India stood at Rs.74.88 per litre, unchanged from its previous day’s closing price. Prices fluctuated in the international market owing to coronavirus and its effect on the Chinese economy.
• On India’s Republic Day, petrol stood at Rs.73.93 per litre, thereby marking a substantial drop in its prices.
• Petrol closed the week at Rs.73.66 per litre, its lowest recorded price in the month of January. The overall performance of petrol in India was -2.02%, trending downwards.

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Budget 2019: Central Government Hikes Excise Duty on Petrol, Diesel by Re.1 (Date:5th July'19)

The Central Government has decided to increase an additional excise duty on petrol and diesel by Re.1 per litre. Finance Minister Nirmala Sitharaman made the announcement in her maiden Budget speech today. Petroleum products, being a huge source of revenue for the government’s exchequer and an increase will certainly hurt consumers. With the additional levy, petrol and diesel prices in the country will increase by a sharp margin. On 4 July, petrol was priced Rs.70.51 per litre in Delhi and Rs.76.15 per litre in Mumbai, while diesel was sold at Rs.64.33 per litre in Delhi and Rs.67.96 per litre in Mumbai.

Currently, the excise duty on petrol is Rs.17.98 per litre, while the Value Added Tax (VAT) levied on petrol amounts to Rs.14.98 per litre. The overall rate charged to dealers amounts to Rs.32.96 per litre. As for diesel, the central government charges Rs.13.83 per litre as excise duty and Rs.9.47 per litre as VAT, while the price charged to dealers is Rs.23.30 per litre. In has been a practise in the past to cut excise duty on petrol and diesel whenever crude oil prices increases; however, since 2014, the government has been increase duties leading to an increase in revenue for the central government.

Petrol is an essential commodity in our day-to-day life. We use it mainly for the purpose of transportation. The price, which is charged at petrol pumps, is the retail price of petrol for consumers. Have you ever questioned yourself that how petrol rates in India are computed? Which are the influencers of the cost of petrol? Whether or not petrol has been covered under the regime of GST? These are very important questions from the stance of petrol users someone like you. Let’s get into the discussion.

Daily Revision of Petrol and Petrol Price in India (Dynamic Fuel Pricing)

How are petrol and petrol prices in India determined today? We have a new fuel pricing mechanism in place called dynamic fuel pricing, which is also called daily revision of fuel rates. The new pricing system was introduced in India on 16th June 2017 after conducting a long 40-day trial in five cities - Chandigarh, Udaipur, Jamshedpur, Puducherry, Vishakhapatnam.

Under this system, fuel rates are revised on a daily basis considering global crude oil rates and the rate of currency conversion. The system is in practice across 58,000 petrol bunks in India. The system brings transparency and addresses complexities involved in the previous fortnightly-based revision. It lets fuel users pay market-determined prices despite the impact.

Petrol and petrol rates are revised at 06:00 a.m. every day.

There are two categories of petrol bunks:

1. Automated, which automatically modify rates with no human intervention and
2. Non-automated, which manually revise. Only 20% out of 58,000 petrol bunks are automated and the rest are non-automated. The revised rates shall be displayed at bunks for the public.

How to Check Petrol Prices in India every day?

State-owned oil marketing entities account for at least 90% of retail fuel stations in India. Renowned oil brands such as Hindustan Petroleum (HPCL), Bharat Petroleum (BPCL), and Indian Oil have strategically designed a few initiatives that help consumers spot the latest rates.

Here is How You Can Track Petrol Prices Regularly:

Mobile app You can also download Bankbazaar App and check the prices instantly on your smartphone.

Impact of GST on Oil and Natural Gas Industry

The Goods and Services Tax (GST) is a unified indirect tax platform that was implemented in July 2017.As on today, the oil and natural gas industry has been kept outside the GST regime. What would have been the impact on the industry if GST was imposed?

The cost of compliance would have doubled as the industry had to comply with the present and GST tax structures. The implementation of GST would have resulted in non-creditable tax, which means the participants of the industry had to pay GST upon the purchase of plant and machinery. They would not have been able to obtain credit on saleable products. Moreover, upstream corporations would have been adversely affected by a hike in the tax rate from 15% to 18%.

With respect to the segment of gas utilities, gas marketers would have faced complexities since they had to remit GST on transmission rates. GST excludes five petroleum derivatives - natural gas, high-speed diesel, crude oil, motor spirit and aviation turbine fuel while it covers other commodities such as kerosene, LPG, fuel oil, naphtha.

GST Impact on Petrol Prices in India

Let’s take a look at how much is taxed on petrol.

32% of the retail price of petrol goes to the central government and 21.5% to the state. The central government gets Rs.21.48 and the state Rs. 14.15 if the RSP is 65.63. This is the current scenario.

What is the impact of GST on petrol prices in India? Let’s take an example of the capital city, Delhi.

A litre of petrol costs Rs.70.56 in Delhi as on 28th September 2017. It will fall to Rs.30.85 a litre when we take out Rs.21.48 paid as the excise duty a litre, the state government’s 27% VAT, Rs.3.24 remitted as commission to dealers. If GST is imposed on petrol, how much do we pay?

Here goes the calculation:

· In case 12% GST on petrol, a litre of petrol costs Rs.38.10.

· In case 18% GST on petrol, the cost of petrol per litre is Rs.40.05.

· In case 28% GST, which is the highest rate fixed till date, the cost in the city is Rs. 43.44 per litre.

Petrol prices in India would have cheaper for consumers, but the revenue source for both the governments would have been adversely affected. Let’s wait till the next turn.

Industry Stakeholders

It is important to understand the participants of the oil and natural gas industry to understand how petrol prices in India are determined. They include:

• Oil production and exploration corporations: These corporations are liable for producing oil in its crude form. The major participants of this segment include Crain India, Reliance Industries, Oil and Natural Gas Corporation (ONGC), Oil India. Only 25% of the country’s oil requirements is met through these companies and the rest through importing.

• Oil Marketing Corporations: Oil marketing companies, also called refineries, manage everything from the stage of crude oil till the delivery of saleable fuel to dealers. This segment consists both public and private sector companies such as Reliance Industries, Essar, Indian Oil Corporation, Bharat Petroleum Corporation, Hindustan Private Corporate.

• Dealers: Owners of petrol bunks are called dealers who can be individuals or business entities. They sell petrol to end customers after adding their margins and local taxes.

Components of Petrol Prices in India

A litre of petrol in the national capital costs you Rs.70.56 at the moment. The central excise duty is Rs.21.48 a litre as on today? Why are we paying so much then? How is the RSP computed? The computation of RSP is based a few considerations, which are:

1.Cost of crude oil plus cost and freight charges

The cost of crude oil is the biggest component of the RSP. Oil manufacturing companies pay crude oil prices in addition to the cost and freight charges to buy oil from overseas companies. India is one among the biggest importers of crude oil.

2.Refinery transfer price (RTP)

Refinery transfer price is the cost incurred by OMCs to convert crude oil into refined petrol. In other words, RTP is a fee charged by refineries to OMCs to convert oil into refined petrol.

3.OMCs profit margin

OMCs retain the possession of oil until it is refined and then they sell refined petrol to local dealers after adding a profit margin.

4.Central and state taxes

Tax on petrol is imposed by the state and the central. The central excise duty is the same across the nation while the component of VAT varies within states.

5. Dealer commission

Local dealers or petrol bunk owners sell petrol to end customers after adding their commission per litre of petrol. Dealer commission may slightly vary.

All the aforementioned components get added to the final price. The variable components of petrol prices in India are transportation costs and the state VAT.

Breakup of Petrol Prices in India

The INR has strengthened against the USD recently. The crude oil price floats around $48 at present. The cost of one barrel, which is equivalent to 159 litres, is Rs.3210 that means a litre of oil costs you Rs.20.19. Crude oil prices are also marked to market dynamics. With this information, let’s now take a closer glimpse at the breakup of petrol prices in India as on 24th August 2017.

This is how the retail selling price of petrol is computed in India.

VAT on Petrol Prices in India

The tables listed below gives you an idea about effective rates of VAT imposed on petrol by Indian states as on 1st September 2019. The data has been released by the Petroleum Planning and Analysis Cell (PPAC).

Factors Impacting Petrol Prices in India

The cost of petrol in India is impacted by the following factors:

1. Crude oil prices

The pricing of crude oil is often what impacts petrol rates the most. Crude oil, also called unrefined oil, is an international commodity. The market for which is dynamic in nature. The most common influencers of the cost of oil include:

• Demand and supply: The law of demand applies even for petrol prices, which increase when there is an increased demand for oil and decrease if there is a decreased demand.
• Future supplies and reserves: An inadequate amount of oil reserves increases the oil cost that in turn impacts fuel rates.
• Political events: Crude oil pricing is affected by wars, natural calamities, new government regulations.
• Demand from leading economies: The oil price boosts when there is a larger demand from leading economies of the world.

2. Taxes

As discussed earlier, petrol is taxed by centrally and by the state. Petrol prices in India will change in proportion to changes in the central excise duty and the state VAT.

3. Refinery Consumption Ratio

This is a very important consideration. Crude oil when imported by OMCs is sent to refineries for further processing. A lower refinery consumption ratio leads to a lower quantity of refined petrol for sale and, thus increases the cost of petrol.

4. Currency Conversion Rate

The USD is the base currency to buy raw oil. If the USD strengthens against the INR, the buying cost of oil shall go up; when it weakens, the cost will be declined. Ups and downs in oil impact the buying cost of petrol as a result.

Determinants of Bunk Prices

1. Seasonal condition

Seasonal conditions in oil producing countries have a direct impact on extracting raw oil. Oil manufacturing companies cannot have the same productivity throughout all seasons. A drop in productivity gives a boost to the buying cost of raw oil at global markets, thereby affects petrol prices at bunks.

2. Weather reports

Weather reports differ from seasonal conditions. Crude oil once purchased by OMCs is transported to refineries. When bad weather reports interrupt transportation activities, we are left with an inadequate quantum of refined petrol for consumption.

3.Restricted refining capabilities

There exists a dearth of refined petrol when refineries limit their refining capabilities due to high running expenses. So, usable oil is short in supply, leading to a price hike at bunks.

4.Devaluation of USD

As we know, crude oil is traded in US dollars. Oil manufacturing companies tend to tweak prices if the USD weakens against the major currencies of the world.

LPG, Domestic LPG, CNG, Kerosene

• Liquified Petroleum Gas (LPG) is a composition of commercial propane and commercial butane. It can be extremely dangerous. The way it is utilised, shifted, and bottled should be paid extreme importance. LPG, under moderate pressures, can be readily liquified.

• Domestic LPG is a composition of hydrocarbons that are vaporous at usual temperature. Hydrocarbons can be stockpiled in cylinders and liquified at temperate pressure. Domestic LPG is a gas with no colors and not dangerous. The gas connection at homes should be done with utmost care.

• Compressed natural gas (CNG), a fuel, can be utilised in lieu of propone, gasoline, diesel fuel. CNG ignition foodstuffs lesser detrimental gases than other fuels. In the event of a spill, it is harmless compared to other fuels. It can be discovered above oil repositories.

• Kerosene, also called paraffin, is a combustible liquid and utilised as a fuel for power, heat, light. It is usually a multipurpose fuel and can be used effectively, carefully in order to get incredible results. Kerosene is famous among people for cost-effectiveness.

Also check Today's Petrol Price in the most popular Indian cities

Frequently Asked Questions on Petrol Price

• What is the retail price of fuel?

  The retail price of fuel encompasses the product’s cost, the operating expenses of the state government, excise duties, taxes, margins.

• Who manages bunk prices in India?

  In June 2010 and October 2014, the Indian government has deregulated diesel and petrol prices. Both central and state governments have no direct control over fuel price in India. Now, they are market determined. The components of pump prices today are global crude prices, transportation and refinery costs, VAT, excise duty.

• Why do fuel prices vary from one country to another?

  Fuel prices vary from one country to another due to the following reasons:

  • Currency variations
  • Government subsidies for fuel
  • Government tax rates and excise duty
  • Availability of crude oil
  • Market speculation
  • Government regulations related to petroleum products
• Does the US exchange rate impact fuel prices?

  The world’s crude oil is traded in US dollars. Due to which, fluctuations in currency exchange rates shall definitely impact fuel prices. For instance, if the Indian rupee falls against the US dollar, the purchasing price of crude oil for India may increase.

• Why is diesel rate lower than petrol price in India?

  The agricultural sector consumes diesel. The sector employs more than 40% of Indians and accounts for 14% of gross domestic product (GDP). Diesel price is lower than petrol rate since it is subsidised by respective governments. Petrol is used for non-economic activities.

• Why has the Indian government not imposed GST on diesel and petrol?

  Diesel and petrol are major revenue sources for both state and central governments. Currently, the central excise duty is 23% and the state government VAT is 34%. If the central government had imposed GST on petrol and diesel, the government would have generated 28% tax. This is the biggest value of GST that would have affected the revenue.

• Which are the factors affecting natural gas prices?

  Natural gas prices are influenced by net imports, underground storage levels, natural gas production, economic conditions, weather, petroleum prices.

• Why do fuel prices differ within Indian states?

  Petrol rates differ within Indian states because of three vital factors: 1) tax regulations, 2) transportation expenses, 3) political health. India has different tax regulations across the states. Both central and state governments tax petroleum derivatives differently. A state with a lower tax rate has a lower price charged for petrol and diesel. Transportation expenses even impact petrol prices. The distance covered from refineries to dealers gets added. A shorter distance covered has a lower price charged compared to a longer distance. Political stability is another important consideration. A shift in rolling government may alter existing tax structures and subsidies either through a hike or through a drop.

• How Shell petrol differs from other brands?

  Well, there is no difference in terms of quality. Quantity may differ as Shell petrol price is a little more than Bharat Petroleum Petrol price, HP petrol price or Indian Oil petrol price.

*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.

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