January 12, 2019
Petrol and diesel prices were increased for the third consecutive day on Saturday (January 12) even as global oil prices fell about 2 per cent on Friday.
In Delhi, a litre of petrol will cost Rs 69.26 after an increase of 19 paise over yesterday’s rates; diesel, on the other hand, is retailing at Rs 63.10 per litre after an increase of 29 paise.
Petrol price in Mumbai is just shy of the Rs 75 per litre mark while diesel price has crossed the Rs 66 per litre. In Kolkata, a litre of petrol is retailing at Rs 71.39 whereas diesel rates have been hiked to Rs 64.87 per litre.
Commuters in metro cities like Bengaluru and Chennai are just short of paying Rs 72 for a litre of petrol. Commuters in Patna (Rs 73.46/litre) and Hyderabad (Rs 73.41 per litre) also have to pay competitively higher than most states towards petrol.
The highest diesel price was recorded in Hyderabad (Rs 68.57/litre) followed by Bhubaneshwar (Rs 67.72/litre) and Trivandrum (Rs 67.58/litre). In Bengaluru, diesel price has again crossed Rs 65 per litre. In most other cities, the rate for a litre of diesel has been fixed between Rs 62-65 per litre.
Despite a dip in global oil prices on Friday, major PSUs have been increasing fuel prices considering the solid weekly gains posted global crude prices.
The fresh weakness in crude prices has been linked to weak investor sentiments amid global growth concerns.
All major crude oil benchmarks fell due to no clear mandate arising out of three day talks between US and China. While Brent Crude oil was trading at $60.48 per barrel, US West Texas Intermidiate Crude was retailling at $51.59 per barrel.
Fuel prices had last reached its peak in India — the third-largest importer of crude oil in the world — on October 4 amid tightened production and sanctions. A falling rupee had added to the country’s woes.
The situation improved sharply after excess global production led to a sharp fall of about 30 per cent in global crude oil prices. Following the drop, major oil PSUs in the country lowered oil prices.
However, the price of essential fuels may witness another rise as OPEC-led nations have now decided to squeeze oil production again.
Saudi Arabia, which is one of the oil kingpins, said it will cut production to the tune of 8,00,000 barrels per day.