Published: Mon, May 14, 2018
Global News | By Blake Casey

Karnataka polls over, petrol, diesel prices rise after 19 day freeze

Karnataka polls over, petrol, diesel prices rise after 19 day freeze

On 24 April, diesel prices had reached Rs65.93 per litre in Delhi, with petrol prices also peaking to Rs74.63 per litre.

The duty cut may be restored if crude and product prices fell subsequently and remained low for a longer period. The crude oil prices fell on Monday as the U.S. has increased its drilling activity to increase output.

This is an allegation that the government and oil companies have denied. Minister for Petroleum and Natural Gas, Dharmendra Pradhan had maintained that auto fuels are a deregulated commodity in the country. This despite benchmark worldwide rate for petrol going up from $ 78. However, none of the companies had officially confirmed that the absorption was due to the elections in Karnataka.

State run oil marketing companies on Monday raised petrol and diesel prices by 17 paise and 21 paise per litre respectively. Petrol price was seen at Rs 74.80 per litre, the highest since September 2013, and diesel was seen at Rs 66.14 per litre. Karnataka voted on Saturday for a new assembly and the results will be announced tomorrow. The scheme was adopted by state-run oil marketing companies in June 2017. The prices were kept on freeze starting from April 24, on the back of the Karnataka polls. 21 as PSU oil firms began passing on the spike witnessed in global rates to consumers. But prices were frozen thereafter.

Interestingly, Brent crude oil prices increased by about $3 (Rs 200) per barrel during the period when fuel prices in India remained unchanged. 63 while diesel rates were increased to Rs 66. The rupee has fallen to 67.23 per U.S. dollar, which is at its lowest since February 8, 2017.

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The Ibrox side, who finished third in the Scottish Premiership, trailed 3-0 then led 5-3 before being pegged back at Easter Road. I can criticise them for conceding goals the way they did, but I can't criticise them for the way they came back into the game.

India import about 80 percent of its oil. The rise in crude oil prices will increase the liability as the rupee has also started depreciating against the dollar.

Petrol and diesel prices are now revised daily.

Petrol price in Chennai today: The petrol price here stood at Rs 77.43 paisa similar versus previous day prices. The move was made keeping the day-to-day variation of global crude prices in mind.

Finance Secretary Hasmukh Adhia and Economic Affairs Secretary Subhash Garg have in the past weeks ruled out any immediate reduction in excise duty to cushion the increases warranted from a spike in worldwide oil price. 14 a litre from Rs 65. This led to its excise mop up more than doubling to Rs 2,42,000 crore in 2016-17 from Rs 99,000 crore in 2014-15. On the other hand, Mumbai and Chennai saw a rise of 23 paise each in diesel prices and 5 paise per litre in Kolkata. There are chances that rupee may slide further to 70 level this year.

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