Petrol Price in Mysore
The petrol price in Mysore is currently fixed and revised under the daily revision system. The price majorly includes taxes, OMC overheads and crude oil rates. The Central Government levies an excise duty of Rs.17.48 on petrol a litre as of 1 February 2018. The State Government levies a VAT of 30% on petrol a litre. The BJP Government, which was formed in 2014, decreased the excise duty several times. The central tax was declined by Rs.2 a litre in October 2017 and February 2018 respectively.
Historical Petrol Rates in Mysore
The petrol rate in Mysore has not been consistent since the daily price revision system. You will easily understand the trend in petrol prices through a monthly analysis. On the first day of April 2017, the petrol rate in Mysore was Rs.70.84 per litre. When revised on the opening day of May 2017, it stood at Rs.72.76 per litre. The fuel was sold at Rs.71.34 per litre on the first day of June 2017 and at Rs.64.02 per litre on the opening day of July. As the oil marketing companies adopted the daily revision mechanism in the month of June 2017, fuel prices were low for the first 15-20 days.
In August 2017, they started increasing again. The fuel retailed at Rs.66.16 a litre on the first day of the month. When revised on the first day of September, the fuel was sold at Rs.70.10 per litre. On 1 October 2017, the price stood at Rs.71.67 per litre and further decreased to Rs.69.96 per litre on the first day of November 2017. Petrol prices in Mysore were Rs.70.05 per litre and Rs.70.81 a litre in November and December 2017. Recently, when revised on 1 February 2018, the petrol rate in Mysore was Rs.73.94 per litre.
Dynamic Fuel Pricing vs Current Petrol Price in Mysore
Indian Oil, Hindustan Petroleum and Bharat Petroleum, which are the three publicly-owned brands for marketing oil, switched to the daily revision mechanism in June 2017 by quitting the 15-year old fortnightly-based revision. Before June 2017, the revision of fuel prices in Mysore used to happen twice a month. The first revision used to happen on the 1st of every month and the second revision used to befall on the 16th of every month. Fuel prices used to be steady at least for a period of 15 days.
This is not the case now. Dynamic fuel pricing, also called the daily price revision, majorly takes into the USD/INR conversion rate and crude oil rates to fix and revise the petrol price. The scheduled time to revise the fuel price is 06:00 a.m. everyday. The oil marketing brands shall update the revised fuel prices for consumers. Dynamic fuel pricing allows the revision of fuel prices through a mechanised system. Fuel stations, which are not automated, should do it manually. In a nutshell, petrol prices in Mysore have been varying owing to dynamic fuel pricing.
Features of Dynamic Fuel Pricing
- Dynamic fuel pricing does not allow the intervention of political parties while fixing the price of the fuel.
- Fuel consumers do not face the problem of stocks. In other words, oil marketing companies ensure the continuous supply of petrol in Mysore.
- The petrol price is revised in sync with the changes in the exchange rate and also crude oil rates in global markets.
- The effective maintenance of working capital can be assured for oil marketing brands.
- Dynamic fuel pricing interlinks the global fuel retailing industry with the Indian fuel retailing industry.
Track Petrol Prices in Mysore using Mobile Applications and SMS Services
You have three options to trace the latest petrol price in Mysore. The first option is to make use of the mobile applications, the second option is to make use of SMS services and the third option is to check the online portals. Fuel@IOL, SmartDrive and My HPCL are the three mobile applications, which you can download if you are using smartphones. If you are willing to avail the SMS services, be sure to visit the websites of Indian Oil, Bharat Petroleum and Hindustan Petroleum to find the tips. Today’s petrol price in Mysore can also be traced through online portals.
Computation of Petrol Price in Mysore
- Crude oil prices: The crude oil price is divided by 159 to arrive at the cost price of crude oil per litre. Let’s assume the cost of a barrel of crude oil is Rs.4,200. When it is divided by 159, we arrive at Rs.26.42. This is the price of crude oil per litre.
- OMS overheads: Oil marketing companies incur entry taxes, the price paid to refineries, processing charges, the overall operational expenses, etc. It is more than Rs.8 per litre.
- Excise Duty: The excise duty is centrally charged. As of 3 February 2018, the excise duty per litre is Rs.19.48 a litre. It consists of the road cess, which was introduced in the Union Budget 2018-2019.
- Dealer commission: Retail fuel stations work for a commission to supply petrol to fuel consumers in Mysore. As of 3 February 2018, it is Rs.3.59 a litre.
- VAT: VAT stands for Value-added Tax and is a state level tax imposed on petrol by states. As of 4 September 2017, 30% VAT was levied on petrol by the Government of Karnataka.
All the cost elements are added to arrive at the petrol price in Mysore.
Influencers of Fuel Prices in Mysore
The USD/INR exchange rate is a major influencer. It tends to change frequently on a daily basis. Any deviations in the exchange rate affect the current petrol price in Mysore. The USD/INR exchange rate is influenced by the public debt and inflation rate of two countries, and the supply and demand pattern. The cost of crude oil is another influencer. Taxes also impact the fuel rate in the city. The demand for petrol has nothing to do with its price since petrol is not indigenously produced.
GST vs Fuel Rates in Mysore
What is the impact of the GST framework on fuel rates in the city? The GST system is highly debated in the country today. It does not consider petrol for taxation purposes currently. In other words, petrol users across the country do not pay GST taxes on petrol. So, the GST framework has no impact on the price of the fuel. If petrol consumers are taxed at the GST rates, the retail selling price shall drop. Eventually, the income source of the government is negatively impacted. The GST Council was asked to bring petrol under the GST mechanism. But, the final decision has to be taken by the GST council in consultation with the Indian Prime Minister.
Why are Fuel Rates increasing in India?
- Crude oil prices have increased by 18$ per barrel last year.
- Fuel suppliers have increased their commission by Rs.1 per litre.
- The profit margin of oil marketing companies has increased slightly over the last year.
Also Check Petrol Price in NearBy Cities of Mysore
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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.