Petrol and diesel prices were hiked by around 60 paise per liter on Monday, as the state-owned oil marketing companies reverted to the normal practice of daily price revisions after a gap of 83 days. Monday’s hike marked a second straight day of upwards revision in fuel prices by 60 paise per liter. After the hike, the price of petrol in Delhi was raised to Rs 72.46 per liter on Monday, compared to Rs 71.86 per liter the previous day. The price of diesel increased to Rs 70.59 per liter in the national capital, from Rs 69.99 per liter that on Sunday, according to notifications by the state oil marketing companies. On Sunday, the oil companies had raised the prices of petrol and diesel by a similar 60 paise per liter. Also, international oil prices rose on Monday but gave up big early gains as optimism over major crude producers’ deal to the extend record output cuts gave way to disappointment the accord that didn’t extend beyond the end of July.
Brent crude futures – the global benchmark for crude oil – were last seen trading up 0.5 per cent at $42.51 per barrel, having earlier climbed to as high as $43.41 per barrel, their highest level recorded since March 6.
State-run oil marketing companies also revise the prices of petrol and diesel from time to time, besides aviation turbine fuel (i.e. ATF) – or jet fuel – and liquefied petroleum gas (i.e. LPG). Although, since 16th March, the oil companies had kept petrol and diesel prices on hold, possibly because of the volatility in global oil markets.
Fuel retailing in the country is dominated by state refiners – Indian Oil Corporation (i.e. IOC), Bharat Petroleum Corporation and Hindustan Petroleum Corporation as well. The 3 own around 90 per cent of the retail fuel outlets in the country.