First fuel price revision since December, price hiked for petrol and diesel, LPG rate surged by Rs 50
In first revision of fuel price since December 2021, the retail price of petrol and diesel in Delhi saw a hike of 80 paise each starting Tuesday, March 22, 2022. Furthermore, LPG or domestic cooking gas price was also increased by Rs 50 per cylinder.
After the latest price revision, petrol in Delhi is now at retail price of Rs 96.21 a litre while diesel is retailing at Rs 87.47. In the Indian financial capital Mumbai, petrol price is now standing at Rs 110.82 while diesel costs Rs 95.00, as shown by the data available on Indian Oil Corporation’s website. Speaking apart from price hike of auto fuels, the price of non-subsidised liquefied petroleum gas (LPG) has been increased by Rs 50 per cylinder to Rs 949.50 for a 14.2-kg cylinder in the national capital Delhi.
Before today’s hike, the retail price revision of petrol and diesel across Indian cities was collectively implemented through last review on November 4, 2021. This was when the Government of India had cut the excise duty on petrol and diesel to reduce their retail rates from prior record highs. The central government, at that time, had also urged the state governments to cut VAT on fuel. Following that many states had decreased VAT on auto fuels. The government had cut down the duty on petrol by Rs 5 per litre and diesel by Rs 10 a litre, which had resulted in a substantial drop in fuel prices. Later in December 2021, the government of Delhi had reduced the value-added tax (VAT) on petrol from 30 per cent to 19.40 per cent. This had led to petrol prices in the national capital to reduce by Rs 8.56 per litre.
India is the world’s third-largest importer and consumer of oil – 85 per cent of India’s oil needs being met by imports. Local petrol and diesel prices in India are linked to international prices of both the fuels that are again moved in proportion to crude prices.