New Delhi, Feb 29, 2016: In good news for consumers, price of petrol was lowered by Rs. 3.02 per litre on Monday. Diesel, however, was raised by Rs. 1.47 per litre. Revised prices will take effect from the midnight of February 29 and March 1.
petrol priceThe revision in fuel prices comes on a day when Finance Minister Arun Jaitley presented a rural-focused Budget in Parliament.
After this revision, a litre of petrol will cost Rs. 56.61 litre in Delhi as against Rs. 59.63 per litre at present, whereas a litre of diesel will cost Rs. 46.43 instead of Rs. 44.96, Indian Oil Corporation (IOC) said.
"The current level of international product prices of Petrol & Diesel and rupee-dollar exchange rate warrant decrease in price of Petrol and increase in price of Diesel, the impact of which is being passed on to the consumers with this price revision," said IOC, the country’s largest fuel retailer.
Fuel prices were last revised on February 17 when petrol was made cheaper by 32 paise per litre whereas diesel was made more expensive by 28 paise per litre.
Petrol and diesel prices are de-regulated in India, which means they are linked to market rates. State-owned fuel retailers Indian Oil Corp, Bharat Petroleum Corp and Hindustan Petroleum Corp revise prices of the fuels on 1st and 16th of every month based on average oil price and foreign exchange rate in the preceding fortnight.
"The movement of prices in the international oil market and rupee-dollar exchange rate shall continue to be monitored closely and developing trends of the market will be reflected in future price changes," Indian Oil said.