Petrol Price in Thrissur
Known as the ‘Cultural capital of Kerala’, Thrissur is home to the famous Thrissur Pooram festival which brings people from around the globe. The city is one of the major manufacturing centres of plain gold and rolled gold jewellery and up to 70% of the state’s jewellery is manufactured in the city. The bustling city of Thrissur has a wide network of roads and is well supplied by the public transportation system.
Thrissur depends largely on private buses, taxis, and auto rickshaws for public transport, while the population of two-wheelers and four-wheelers have increased in the recent past. With most of the residents owning a two-wheeler or a four-wheeler, the city’s fuel consumption has only increased.
State-owned oil companies such as Indian Oil Corporation Limited (IOCL), Bharat Petroleum Corporation Limited (BPCL) and Hindustan Petroleum Corporation Limited (HPCL) operate most of the fuel stations in the city. The petrol price in Thrissur is revised on a daily basis with several factors influencing the change in the petrol rates.
To understand how the petrol price in Thrissur is computed, below is a detailed analysis of the factors which influence the petrol rate in Thrissur.
How is the Petrol Price in Thrissur Calculated?
The final or the retail selling price of petrol, which is paid by the end consumer, includes the international crude oil price, profit margin, taxes, dealer commision, and freight charges.
Petrol price in Thrissur = Excise Duty + Value Added Tax (VAT) + Crude Oil Expenses + Dealer Commission
The above formula to calculate the petrol price forms the main components of the fuel price. Let’s understand in detail how these components are determined.
While the Central Government levies excise duty on petrol worth Rs.19.48 per litre, the state of Kerala charges VAT at 32.03%. Hence, any changes in any one of the taxes will directly impact the petrol price in Thrissur. The other components include any changes in the international crude oil price and freight charges, while the dealers or the fuel station owners charge a commision to dispense fuel to the customers.
The Table below is a breakup of the Petrol Price in Thrissur calculated as of 20 May 2018.
|1||Global Crude or Unrefined Oil Price + Freight Charges||$72.50 per barrel = Rs.31.17/Litre (considering $1=68.36 and 1 barrel oil = 159 litres)|
|2||Profit margin of Oil Companies, transportation, refining, and freight charges||Rs.5.93/Ltr|
|3||Central Excise Duty||Rs.19.48/Ltr|
|5||Value Added Tax (VAT)||Rs.19.28/Ltr|
|Total||Retail selling price of petrol in Thrissur||Rs.79.48/Ltr|
Influencers of the Petrol Price in Thrissur
India purchases nearly 80% of crude oil from the Organisation of Petroleum Exporting Countries (OPEC), which is then refined and sold to the end consumers. Since India’s transportation depends on the imported crude oil, let’s understand what influences the petrol rates to change every day.
- Fluctuations in the International Crude Oil Price: Any revision in the cost of the crude oil in the international market affects the price of petrol in the country as well as in the city of Thrissur. Why does the crude oil price change? Due to production cuts, shortage in supply, geopolitical reasons, and a higher demand increases the rate of crude oil in the global market. This comes down to the cost we pay for a litre of petrol in Thrissur or any other cities in the country.
- Change in the Exchange Rate of the US Dollar over the Indian Rupee: The commodity trading of the crude oil happens in US dollars and India depends on the value of the US dollar to purchase the unrefined oil from the OPEC. Any appreciation in the US dollar value increases the price of petrol or decreases if the dollar depreciates in the exchange market.
- Tax on Petrol in Thrissur: As mentioned, petrol attracts taxes from the Central Government and the State Government. While the Centre charges excise duty of Rs.19.48 for a litre of petrol, the State implies VAT at 32.03%. Any changes in the tax slab lead to changes in the petrol price in Thrissur.
- Oil Companies’ Profit Margin & Dealer Commission: The oil companies purchase crude oil which is then refined and sold to the dealers across the country. Including the freight charges, the state-run oil companies refine the crude oil and transport it to dealers for which they add their profit margin and other operational costs before it’s sold at the Retail Selling Price (RSP).
When Does the Petrol Price in Thrissur Change?
Petrol prices are revised on a daily basis under the new ‘dynamic fuel pricing’ mechanism. Until 16 June 2017, rates of petrol were revised on a fortnightly basis; however, it hampered the Oil-Marketing Companies (OMCs) from increasing the price in case of a rise in the global crude price. To avoid losses, the daily pricing mechanism was introduced to offset any changes in the international crude oil price.
In the new pricing mechanism, the petrol price in Thrissur is updated daily at 6 a.m. IST. The current petrol price in Thrissur is updated taking into account the previous day’s crude oil rate and the exchange rate of the US dollar.
How to find the Current Petrol Price in Thrissur?
With the petrol price updated every day, it’s important to know what is the current fuel price in the city. OMCs are offering several methods for tracking today’s petrol price in Thrissur. Below are the ways to find the fuel prices.
- Mobile Application: OMCs have launched smartphone apps to track the current petrol price in cities in India. Indian Oil has launched the ‘Fuel@IOC’ app, BPCL customers can take advantage of the ‘SmartDrive’ app, while HPCL consumers can use the ‘MY HPCL’ app.
SMS Service: Consumers can utilise the SMS services offered by the oil companies. The below format will help you track the petrol rate in Thrissur.
- IOCL: SMS RSP
dealer code to 9224992249.
- BPCL: SMS RSP
dealer code to 9223112222.
- HPCL: SMS HPPRICE dealer code to 9222201122.
- IOCL: SMS RSP
- Website: The petrol price in Thrissur, as well as other cities, can be tracked by visiting the respective OMCs website which offers the current petrol rate.
GST on Petrol in Thrissur
All goods and services come under the new taxation regime known as the Goods and Service Tax (GST), which came into effect from July 2017. However, petroleum products are exempted from the GST, currently. Petrol in Thrissur continues to attract taxes levied by the Centre and the State. Why is the GST not applicable on petrol? While the highest tax slab in the GST is 28%, the taxes which are levied currently on petrol is much higher. By bringing petrol under the framework of GST, it will directly impact the revenue generated by the Centre and the State.
Also Check Petrol Price in NearBy Cities of Thrissur
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|Petrol Price In Kozhikode||Petrol Price In Coimbatore||Petrol Price In Mangalore|
*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.