Fuel Prices: 10 straight hikes take petrol up by Rs 5.47 per litre, diesel by Rs 5.8; jet fuel rate increased by 16.3%
New Delhi | Jagran Business Desk: The petrol and diesel prices witnessed spike for the tenth straight day on Tuesday on the back of firming international oil rates. While petrol price was increased by 47 paise, diesel rate was up by a record 93 paise.
Following the daily revision of prices, petrol in Delhi was hiked to Rs 76.73 per litre from Rs 76.26, while diesel rates were increased to Rs 75.19 a litre from Rs 74.26.
In 10 hikes, petrol price has gone up by Rs 5.47 per litre and diesel by Rs 5.8 a litre.
Rates have been increased across the country and vary from state to state depending on the incidence of local sales tax or VAT.
The hike in diesel rates is the highest daily increase since the state-owned fuel retailers started daily revision in rates in May 2017.
Tuesday's increase in petrol and diesel price marks the 10th straight day of rise in rates since oil companies on June 7 restarted revising prices in line with costs, after ending an 82-day hiatus.
The freeze in rates was imposed in mid-March soon after the government hiked excise duty on petrol and diesel to shore up additional finances.
Oil PSUs Indian Oil Corp (IOC), Bharat Petroleum Corp Ltd (BPCL) and Hindustan Petroleum Corp Ltd (HPCL) instead of passing on the excise duty hikes to customers adjusted them against the fall in the retail rates that was warranted because of fall in international oil prices.
Meanwhile, Jet fuel or ATF price was hiked by Rs 5,494.5 per kilolitre (kl), or 16.3 per cent, to Rs 39,069.87 per kl in the national capital, according to a price notification by state-owned oil marketing companies.
This is the second straight increase in ATF price this month. Rates were hiked by a record 56.5 per cent (Rs 12,126.75 per kl) on June 1.
The June 1 hike in jet fuel price had come after seven consecutive reductions in rates since February. ATF price in Delhi before the reduction cycle began in February was Rs 64,323.76 per kilolitre, which got reduced to Rs 21,448.62 last month.
Industry officials said the hike was necessitated because benchmark international rates have bounced back from a two-decade low.
While ATF prices are revised on 1st and 16th of every month, petrol and diesel prices are revised on a daily basis.
Oil companies used to revise ATF prices on the first of every month, but adopted fortnightly revisions on March 21 to pass on the benefit of falling international oil prices to airlines.
Congress president Sonia Gandhi on Tuesday demanded a rollback of hike in fuel prices, saying the government's decision to increase the prices of petrol and diesel during the coronavirus crisis is "wholly insensitive" and "ill-advised".
The government is doing nothing short of "profiteering off its people" when they are down and out, she said in a letter to Prime Minister Narendra Modi.
"I am deeply distressed that in these exceedingly difficult times since the beginning of March, the government has taken the wholly insensitive decision to increase petrol and diesel prices on no less than ten separate occasions," Gandhi said in her letter.
She accused the government of earning an additional revenue of nearly Rs 2.6 lakh crore through these "ill-advised" hikes in excise duty and increase in prices of petrol and diesel.
"I urge you to roll back these increases and pass on the benefit of low oil prices directly to the citizens of this country.
"If you wish for them to be 'self-reliant' then do not place financial fetters on their ability to move forward," the Congress president said.
Gandhi also urged the government to use its resources to put money directly into the hands of those in need in these times of severe hardship.
Posted By: Abhinav Gupta