Petrol Prices in Tiruchirappalli
Tiruchirappalli, also called as Trichy, is the fourth biggest municipal corporation in Tamil Nadu. The population of the city as per the latest census was 1,129,422. The petrol users in the city are more in number like other notable cities in Tamil Nadu. The city also has a good number of petrol stations spread across all regions. The petrol price is one of the widely debated topics. The current fiscal year has witnessed many changes with respect the fuel retailing sector. Let’s discuss them in detail:
Introduction of Dynamic Fuel Pricing
How are petrol prices in Trichy updated? Many people do not know that fuel rates in the city are revised on a daily basis under dynamic fuel pricing, which was introduced in India on 16 June 2017. This new fuel pricing mechanism was implemented throughout the country after running a 40-day pilot in five Indian cities. The United States of America and Australia also revise fuel rates under dynamic fuel pricing, which is believed to bring transparency in fuel pricing.
Therefore, all petrol dealers in Trichy have begun revising fuel rates (diesel and petrol) on a daily basis in sync with the currency conversion rate (INR/USD) and worldwide crude oil prices. Currencies are traded in the foreign exchange market (Forex market), which is highly volatile in nature. The benefit of using dynamic fuel pricing is that the regular variations in the INR/USD rate and crude oil prices can be instantly transmitted to end customers.
The price revision is done at 06:00 a.m. every day. The next day’s fuel price will be informed to dealers at
08:00 p.m. every day. Since the daily revision encourages the automation drive, the daily revision is automatically done in automated bunks. All non-automated petrol stations will manually revise fuel rates. Petrol consumers from Trichy can easily trace the latest petrol price as oil marketing companies such as Indian Oil, Bharat Petroleum and Hindustan Petroleum have created mobile applications.
Quarterly Petrol Price Trend in Trichy between October and December 2018
|Opening date price||Rs.87.61 a litre||Rs.83 a litre||Rs.75.83 a litre|
|Closing date price||Rs.83.19 a litre||Rs.76.20 a litre||Rs.71.86 a litre|
|Highest price||Rs.87.87 a litre booked on 4th of October||Rs.83 a litre booked on 1st of November||Rs.75.83 a litre booked on 1st of December|
|Lowest price||Rs.83.19 a litre booked on 30th of October||Rs.76.20 a litre booked on 30th of November||Rs.71.86 a litre booked on 31st of December|
Petrol Price Trend in Trichy between October and December 2018
- In October, petrol prices in Trichy have been revised on the basis of the daily changes in oil rates and the exchange rate of the dollar against the rupee.
- The cost of a litre of petrol decreased by 2.31% in the first week, 1.09% in the second week, 0.88% in the third week and 1.39% in the last week of October in Trichy.
- The highest price was noted at Rs.87.87 a litre in the first week, while the lowest price was registered at Rs.83.19 a litre in the last week.
- On 5 October, the price was reduced by Rs.2.5 per litre by state-owned oil companies as the excise duty on petrol per litre was cut by Rs.2.5 by the Centre on 4 October.
- Unlike BJP-led governments in India, the State Government of Tamil Nadu did not reduce its VAT on diesel. In BJP-led states, both diesel and petrol rates declined by Rs.5 per litre on 5 October.
- At IOCL petrol pumps in Trichy, the price was revised to Rs.83 a litre on 1 November after the daily revision.
- Compared to the previous day’s price, the price offered on 5 November was up by 63 paise per litre.
- Under dynamic fuel pricing, the price was Rs.82.04 a litre on 6 November. The same price was extended until 11 November.
- The degree at which fuel prices in Trichy have fallen in November is higher than the previous month.
- Since the cost price of petroleum per barrel has fallen by over $12 over the first two months of the quarter, petrol rate has fallen by over Rs.11 per litre during the same tenure.
- On 1, 2 and 3 December, petrol prices stood at Rs.75.83 a litre, Rs.75.50 a litre and Rs.75.17 a litre respectively.
- In the week 2, week 3 and week 4 of December, petrol prices were slashed by 72 paise per litre, 18 paise per litre and 96 paise per litre respectively.
- Triggered by a $20 fall in the price of crude oil per barrel during the quarter, petrol rates in Trichy were down by Rs.15.75 to Rs.71.86 during the same period.
- The lowest price stood at Rs.71.86, while the highest price stood at Rs.87.87 a litre for the whole quarter.
Other Benefits of Dynamic Fuel pricing
The following are the additional benefits of the daily revision mechanism:
- Bunk owners can deploy the industry best inventory management principles.
- Bunk owners can efficiently and effectively manage their working capital.
- The Indian fuel retailing sector can be aligned to global markets.
Quarterly Petrol Price Trend in Trichy between July 2018 and September 2018
|Opening date price||Rs.78.94 a litre||Rs.80.08 a litre||Rs.82.12 a litre|
|Closing date price||Rs.79.78 a litre||Rs.82.12 a litre||Rs.87.09 a litre|
|Highest price||Rs.80.70 a litre recorded on the 11th||Rs.82.12 a litre recorded on the 31st||Rs.87.09 a litre recorded on 28th, 29th and the 30th|
|Lowest Price||Rs.78.94 a litre recorded on the 1st||Rs.79.91 a litre recorded on the 2nd||Rs.82.12 a litre recorded on the 1st and 2nd|
Petrol Price Trend in Trichy in July 2018
- Petrol and diesel prices in the country are revised on a daily basis by State-run oil marketing firms based on the dynamic fuel pricing mechanism.
- Under this pricing mechanism, the retail price of petrol in Trichy is arrived by including the global crude oil price and the exchange rate of the rupee over the U.S. dollar.
- On the 1st of July, the petrol price in Trichy stood at Rs.78.94 per litre - the lowest price recorded in Trichy for the month.
- Prices were hiked in the first and second weeks and the highest petrol price in Trichy was recorded on the 11th when a litre was sold at Rs.80.70 a litre.
- Over the next weeks, prices declined in the city; however, it did not breach the opening price of the month.
- The closing petrol price in Trichy stood at Rs.79.78 a litre, an increase of 84 paise per litre when compared to the opening price.
- The petrol price trend in Trichy during July grew by 1.07% attributed to the marginal increase in the global crude oil price.
Petrol Price Trend in Trichy in August 2018
- In accordance with the daily revision of fuel prices, the petrol price in Trichy on the 1st of August was hiked by 30 paise per litre to be sold at Rs.80.08.
- Prices were reduced on the 2nd by 17 paise per litre when a litre was sold at Rs.79.91 per litre - the lowest petrol price in Trichy for the month.
- During the course of the first and second months, petrol prices in Trichy inclined in tandem with the rise in crude oil prices in the international market.
- The increase in the global crude oil prices was primarily due to geopolitical tensions between the U.S. administration and Iran after the former pulled out of the Iran nuclear deal.
- Due to the geopolitical tensions, the oil supply from Iran lowered leading to the increase in crude oil prices in the market.
- Prices continued to increase over the fourth week to touch the highest petrol price in Trichy when a litre was sold at Rs.82.12 on the 31st of the month.
- Overall, the petrol price in Trichy inclined by 2.55% attributed to the hike in crude oil prices in the global market.
Petrol Price Trend in Trichy in September 2018
- On the 1st of September, the petrol price in Trichy stood at Rs.82.12 per litre, same as the previous day, which was kept unchanged until the 2nd of the month. This was also the lowest petrol rate registered during the month in the city.
- Prices continued to soar during the first and second weeks due to escalating geopolitical tensions between the U.S. and Iran.
- Even as the U.S. administration was ready with sanctions on Iran, the supply declined prompting fuel prices to grow significantly across the globe.
- The global crude oil price rose to touch a four-year high of $80 per barrel which resulted in record petrol prices in the country.
- Additionally, the rupee declined to its lowest at Rs.72 over the dollar which influenced the record levels of petrol prices in Trichy.
- Both these factors led to the highest petrol price in Trichy for the month when a litre of the fuel was sold at Rs.87.09 on the 28th and was kept unchanged until the 31st of the month.
- The petrol price trend in Trichy for the month of September reflected an upward trend of 6.05% mainly due to geopolitical tensions coupled with the record depreciation of the Indian currency over the U.S. dollar.
Quarterly Petrol Price Trend in Trichy Between April and June 2018
|Opening date price||Rs.77.09 a litre (As on 2nd)||Rs.78.13 a litre (As on 14th)||Rs.81.81 a litre|
|Closing date price||Rs.77.94 a litre (As on 24th)||Rs.81.86 a litre||Rs.78.92 a litre (As on 26th)|
|Highest price||Rs.77.94 a litre recorded on 24th||Rs.81.95 a litre recorded on 29th||Rs.81.81 a litre recorded on 1st|
|Lowest price||Rs.77.09 a litre recorded on 2nd||Rs.78.13 a litre recorded on 14th and 18th||Rs.78.92 a litre recorded on 26th|
Petrol Price Trend in Trichy in April 2018
- Fuel prices in India are revised every day by State-run oil marketing companies such as Bharat Petroleum, Indian Oil and Hindustan Petroleum.
- Fuel companies fix petrol prices based on the crude oil rate and the currency exchange value of the US dollar over rupee. This form of pricing is known as the ‘Dynamic Fuel Pricing’ mechanism.
- On the 2nd of the month, petrol was sold at Rs.77.09 per litre. This is also the lowest petrol price for the month in Trichy.
- In the first and second weeks, petrol prices were revised daily with a slight increase influenced by the marginal increase in the global crude oil rate.
- Since India imports, more than 80% of crude oil, any fluctuations in crude oil prices lead to an immediate increase or decrease in petrol prices in the country.
- By mid-April, the petrol price in Trichy rose by 21 paise per litre affected by the incline in the global crude oil rate.
- Over the course of the month, the petrol price trend in Trichy reflected an upward trend of 1.11% largely influenced by the rise in crude oil prices in the global market.
Petrol Price Trend in Trichy in May 2018
- Until the 11th of the month, State-owned oil companies kept petrol and diesel prices unchanged as the global crude oil rate remained steady.
- On the 14th of the month, fuel companies revised the petrol price in Trichy and increased it to Rs.78.13 per litre. This is also the lowest petrol price for the month in the city.
- By the end of the second week, petrol prices in Trichy rose by nearly Rs.2 per litre on account of an increase in oil prices in the international market.
- The global crude oil price increased sharply due to a possible shortage in supply of crude oil in the backdrop of geopolitical tensions.
- The Trump administration unilaterally pulled out of the nuclear deal with Iran which led to geopolitical fears of a shortage in supply of oil from Iran.
- Iran accounts for nearly 4% of global crude oil supplies which is about 2.4 million barrels a day. Crude oil prices moved upwards sharply which led to the rise in petrol prices in the country.
- Petrol prices in Trichy increased to touch an all-time high of Rs.81.95 per litre on the 29th of the month as the rate for a barrel of crude oil retailed at $80.
- The hike in petrol prices was implemented across the country and every city witnessed a sharp increase in fuel prices.
- The petrol price trend in Trichy during the month reflected a significant increase of 4.78% impacted by the sharp incline in crude oil rates in the international market.
Petrol Price Trend in Trichy in June 2018
- With oil prices on a high across the globe, the members of the Organisation of Petroleum Exporting Countries (OPEC) and its key ally Russia decided to meet on the 22nd of the month to tackle the rising oil prices.
- On the 1st of the month, the petrol price in Trichy stood at Rs.81.81 per litre - the highest petrol price for the month in Trichy.
- Fuel companies continued to revise petrol prices in the city every day in tandem with the crude oil rates. During the first week, petrol prices fell by 70 paise per litre in the backdrop of a reduction in crude oil prices.
- By mid-June, petrol prices in Trichy fell by nearly Rs.2 per litre as the global crude oil price declined marginally and fuel companies decided to pass on the benefit to consumers.
- The OPEC and Russia met on the 22nd and agreed to increase oil production to allay fears of a potential shortage of crude oil in the international market.
- Petrol prices continued to fall significantly during the fourth week to post the lowest petrol price in Trichy for the month at Rs.78.92 on the 26th of the month.
- The petrol price trend in Trichy during the month reflected a downward trend of 3.54% largely due to the increase in the supply of crude oil in the global market which led to the fall in crude oil rates.
Petrol Price in Trichy
After the daily revision on 6 November 2017, petrol was priced at Rs.72.77 per litre. The fuel price was above Rs.72.50 per litre since the beginning of the month. The central excise duty charged by the central government was lowered by Rs.2.00 per litre on 3 October 2017, and thus petrol prices in Tiruchirappalli were down by Rs.2 per litre after 4 October 2017.
Petrol Prices in Trichy Monthly Reports (per litre)
Petrol was priced at Rs.69.79 on the first day of April 2017 and was priced at Rs.71.70 on the opening day of May 2017. The fuel rate further reduced to Rs.70.45 on 1 June 2017. On the opening day of July 2017, the fuel price was the lowest. On 1 August 2017, the petrol price was less than Rs.69. On the first day of September 2017, the fuel was sold at Rs.72.31.
Petrol Price Comparison (per litre)
Let’s consider the five prime cities in India to make a comparative study. On 6 November 2017, the petrol price in Bangalore, which is the capital city of Karnataka, was Rs.70.77 after the daily revision. In Mumbai, the capital city of Maharashtra, the fuel was priced at Rs.76.77, and in Kolkata, the capital city of West Bengal, the fuel was sold at Rs.72.44. In Chennai, the capital city of Tamil Nadu, the fuel price was Rs.72.23.
Since the Value-added Tax (VAT) Structure varies from state to state, the fuel is priced differently in different cities. As on 4 October 2017, the state VAT imposed on petrol in Tamil Nadu was 34%. In Maharashtra, it was 47.94%. In Karnataka, it was 30%. Similarly, the VAT levied on petrol was 26.87% in West Bengal. The higher the state VAT, the higher will be the petrol price. The lower the state VAT, the lower will be the petrol price.
How are Petrol Prices in Trichy Computed?
The price paid by consumers is the final price that includes the following elements:
Cost of crude oil: Petrol is a derivative of crude oil, which is exported by foreign oil companies. Crude oil is transacted in overseas markets since it is an international commodity. The price should be paid in US dollars. The cost of crude oil incurred by Indian oil marketing companies is influenced by weather conditions, seasonal variations, the demand and supply for oil and the global economics. As on 6 November 2017, the price of WTI Crude was $55.95 per barrel.
Taxes: Almost 50% of the retail selling price is formed by taxes. Petrol is taxed at the state and central levels. The retail selling price includes the central excise duty of Rs.19.48 per litre and the 34% state VAT levied by the state government.
OMC expenses: All types of expenses incurred by oil marketing companies (OMCs) are included in the final price. The expenses incurred by OMCs include marketing costs, refinery transfer price, operational costs, the profit margin of OMCs, freight charges and entry taxes. Other components include the commission charged by dealers and pollution cess.
Factors affecting Petrol Price in Trichy
The cost of crude oil, the exchange rate of INR/USD and taxes will affect the petrol prices in Trichy. On a contractual basis, crude oil is imported. So, variations in the exchange rate will impact crude oil prices that in turn affect petrol rates. The central excise duty was reduced to Rs.19.48 per litre on 3 November 2017. As a result, the fuel price was down by over Rs.2.00 per litre in Trichy. It means that ups and downs in the taxes collected by the state and central governments will influence the fuel price.
Impact of GST on Petrol Costs in Trichy
In India, the Goods and Services Tax (GST) was introduced in July 2017. It is a complete, unified tax system applicable to various types of commodities and services. Unlike other products, petrol has been exempted from GST. Therefore, GST rates have no impact on petrol prices. The fuel price will fall by at least 30-35% if GST is imposed on the fuel. The implementation of GST affects the revenue of the government. The complete oil and natural gas industry does not fall under the purview of GST.
Also Check Petrol Price in NearBy Cities of Trichy
|Petrol Price in Chennai||Petrol Price in Bangalore||Petrol Price in Madurai|
|Petrol Price in Visakhapatnam||Petrol Price in Pondicherry||Petrol Price in Dindigul|
*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.