Petrol Price in Kurnool
Make sure to check petrol price in Kurnool before you fuel your vehicles. The price may not be constant every day. It may increase or decrease based on the price of unrefined oil. Today, the fuel selling companies operating across the country are following dynamic fuel pricing to determine and reset fuel price. Dynamic fuel pricing is primarily a method used to reset fuel rates taking into account the deviations in the exchange ratio (USD/INR) and global crude oil costs. Under this method, the price tag of petrol in Kurnool, a city in Andhra Pradesh, jumped to Rs.81 a litre during the first week of May 2018.
There are three state-owned Oil Selling Companies (OMCs) in India: 1) Hindustan Petroleum Corporations Limited (HPCL), 2) Indian Oil Corporations Limited (IOCL), and 3) Bharat Petroleum Corporation Limited (BPCL). They are a major industry stakeholder. The offers made by these OMCs will change slightly because of the brand identity. For instance, today’s petrol price in Kurnool at HPCL minutely differs from the price offer at BPCL. Sometimes, within the same city, the commission collected by fuel distributors may also vary. Thus, petrol rate is affected.
|Also Know: Diesel Price In Kurnool|
Definition of Dynamic Fuel Pricing
Like mentioned earlier, dynamic fuel pricing is the name of the system deployed in India to review fuel rates regularly. Since June 2017, the OMCs have been using this system, which provides several advantages over the fortnightly-based fuel pricing methodology. It gained popularity not only in India but also in other highly advanced nations, including the United States of America, Japan and Russia. Before implementing in all the regions of India, dynamic fuel pricing was experimented in 5 cities.
|Also Check: Petrol Price in Andhra Pradesh|
Characteristics of Dynamic Fuel Pricing
- Fuel stations owned by HPCL, BPCL and IOCL across the city of Kurnool will announce the revised petrol rate every day.
- Majorly, the variations in crude oil rates are observed to release the new offer. To some extent, the INR/USD exchange rate is taken into consideration.
- The latest petrol price in Kurnool is displayed within the premises of fuel points. It will also be made available via various types of offline and online modes.
- Fuel rates in Kurnool can be revised automatically or manually.
Prime Benefits of Dynamic Fuel Pricing
- The OMCs are allowed to easily handle stock. Handling stock was one of the biggest problems previously.
- They are also permitted to keep their cash flows unaffected. Administrative overheads can be reduced as much as possible.
- Fuel pricing will be 99.99% transparency.
- Petrol customers are interlinked to real-time market conditions.
- The changes in the market rate of the commodity are quickly transferred to buyers of petrol in the city.
Ways to Get Current Petrol Rate in Kurnool
Which is your preferred fuel brand? Is it HPCL or BPCL or IOCL? If your preferred oil marketing brand is HPCL, today’s petrol price in Kurnool can be gotten via using its mobile application called My HPCL. If you are seeking to get the price range declared by IOCL, be instructed to use Fuel@IOC, a mobile application launched by IOCL. On the other hand, all the customers of BPCL are recommended to make use of its mobile app, which is SmartDrive. This option holds good only for smartphone holders. Non-smartphone users can consider using offline methods such as SMS services and customer care services in order to receive the current fuel price in Kurnool.
Computation of Petrol Rates in Kurnool
Fuel rates are computed by the Indian OMCs considering the expenses incurred at every phase. What are the elements included in the selling rate of petrol? They consist of taxes, the total amount of overheads expended by the fuel brands, the commission charged by retail petrol suppliers in the city, crude oil expenses, etc. Crude oil expenses and taxes account for 80-85% of the retail price of petrol. They were approximately Rs.27 per litre and Rs.31 per litre respectively as of 1st May 2018. Pollution cess was 25p per litre. On petrol per litre, the dealer’s commission was Rs.3.59. All the cost centres are subject to fluctuate. Because of the Value-added Tax component, fuel rates in the Indian cities will be different. Therefore, fuel prices in Kurnool are higher compared to Delhi.
Factors Affecting Petrol Prices
Apart from dynamic fuel pricing, there are several aspects affecting petrol prices. The major aspects are taxes, the exchange ratio and crude oil prices in global marketplaces. Taxes are of two categories: VAT and excise duty. VAT is collected by the concerned state government. In our case, it is the State Government of Andhra Pradesh. On the contrary, the Central Government of India collects excise duty, which was Rs.19.48 a litre as per the recent announcement. Needless to say, petrol prices are increased by the fuel companies if there is a hike in VAT and vice versa.
The cost price of crude oil is the biggest factor. It will rely on many forces, including climate reports, demand, supply, etc. Sometimes, the production of crude oil is interrupted for some reasons. In that case, crude oil prices are hiked by oil exporting companies. In the end, fuel rates in India are accelerated. Like discussed in the previous section, if there is a major change in the USD/INR ratio, fuel rates are adjusted accordingly. Since the USD depreciated marginally against the Indian rupee in the month of January this year, petrol price in Kurnool produced a decent rise.
Impact of Goods and Services Tax (GST) on Latest Petrol Price in Kurnool
Currently, petrol is not taxed under the GST framework. Other sub-products of petrol have been excluded from the GST list. Fuel consumers and market specialists have expressed concerns related to this issue. According to them, brining petrol, diesel and petroleum commodities under the realm of GST is a good option to restructure the existing tax system. The GST Committee has to take a call whether or not to consider petrol.
Also Check Petrol Price in NearBy Cities of Kurnool
*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.