Diesel price to go up by 90 paise per litre from Saturday, May 11

Diesel price to go up by 90 paise per litre from Saturday, May 11

Mangaloretoday/ITV

New Delhi, May 10: Diesel price will increase by 90 paise per litre plus taxes from Friday-Saturday midnight, the country’s largest oil marketing firm Indian Oil Corporation said Friday. The company has decided to hike the price after a gap of two months.

 

Indian Oil Corporation said the Rs.0.90 per litre increase in price would cover the increase of April and May.

“Indian Oil Corporation Ltd. has decided to increase the Retail Selling Price of Diesel w.e.f midnight of 10th/11th May ’13 by Rs.0.90/litre (excluding VAT) covering the increase for the months of April and May 2013,” the company said in a statement.

Allowing for local taxes, the new rates for diesel per litre will be at Rs.49.69 in Delhi, Rs.53.97 in Kolkata, Rs.56.04 in Mumbai and Rs.52.92 in Chennai.

IOC said that in line with the government’s authorisation to oil marketing companies to increase the price of diesel within a small range every month, "High Speed Diesel (Retail) prices have been raised by Rs.0.45/litre on three occasions i.e. on 18th January ’13, 16th February ’13 and 23rd March ’13."

 

Fuel hike makes petrol cheaper than diesel in Goa


After the Friday hike in fuel prices by the central government, petrol is now cheaper than diesel in this western Indian state, known for cheap liqour.

While petrol is currently priced at Rs.52.10, the hike of 90 paise (Rs 1.09 post state government tax) takes diesel price to Rs.52.70.

The cost of petrol in Goa is the lowest in the country after the Manohar Parrikar-led government slashed VAT to 0.1 percent as part of a promise made in the party’s 2012 election manifesto. At that time, the decision resulted in petrol prices dropping by a mammoth Rs.11.

President of the All Goa Petrol dealers association Paresh Joshi, the dynamics of fuel prices tilting in favour of petrol, consumers may go for petrol cars, instead of diesel vehicles to save money, unlike elsewhere in the country, where the trend is the opposite.

"It won’t make a difference to us because a majority of petrol pumps have both fuels. But consumer trends may change vis-a-vis buying petrol or diesel vehicles," Joshi said.