Oil marketing companies have slashed retail selling price of petrol by almost ₹1.15 a litre effective from midnight July 31/August 1. However, the retail selling price of diesel for normal customers has been increased by ₹0.50 a litre. The rates will vary from State to State depending on local taxes and levies.
The petrol price reduction at the retail end in Delhi is ₹1.09 a litre, while in Chennai and Mumbai the cut is ₹1.15 a litre. Diesel at the retail end will be costlier by ₹0.56 a litre in Delhi.
Diesel rates for bulk customers like Railways has been reduced by ₹0.71 per litre at Delhi (including VAT), with a corresponding decrease in other States.
The benefits from the strengthening of the Indian rupee vis-à-vis the US Dollar has been passed to bulk diesel and petrol buyers.
But, retail diesel prices have been increased in line with the Government directive that allows the companies to raise the rates in small doses. This was done to make the companies recover their losses incurred due to selling the fuel at a controlled price and bring the rates at market level.
Due to the hike, the under-recovery in retail diesel will fall to ₹1.33 per litre from ₹1.83 per litre.
LPG price cut There has also been a cut in the price of domestic non-subsidised LPG cylinders.
From midnight, non-subsidised cylinders will be ₹2.50 cheaper for a 14.2-kg cylinder and ₹4 cheaper for a 19-kg cylinder in Delhi (including VAT).
There has been a corresponding decrease in other States.