Govt cuts petrol prices for first time in 3 years, drops Rs 1.85 per litre

NEW DELHI: For the first time in three years, the Centre has announced the reduction in the petrol prices by Rs 1.85 per litre, excluding state taxes and levies in the country. The reduced petrol prices will effect from today across the country.

The government has reduced Rs 2.22 in the petrol prices in the national capital and the new price in Delhi is Rs 66.42 per litre. The new petrol prices in other major cities like Mumbai, Chennai and Kolkata are Rs 71.47 per litre, Rs 70.38 per litre, Rs 70.84 per litre, respectively.

According to the government, the drop of Rs 1.85 per litre, excluding all taxes in petrol prices in India is due to the fall in global crude oil prices.

After the addition of 20 per cent local sales tax and other charges, the petrol prices are expected to scale down by almost Rs 2.25.

The global crude oil prices plunged to nearly $116 per barrel today from earlier $121 per barrel since the last price hike and owing this the Central govt and state-run oil companies have decided to forward the benefits to Indian consumers via reduced petrol prices.

Mr R S Butola, Chairman, Indian Oil Corporation, on the reduction of petrol price said, “We had gained Rs 1.85 per litre (excluding all taxes) since the last price revision because of a fall in global oil rates and a marginal appreciation in rupee value. We are passing this on to consumers." Mr Murli Deora, Oil Minister of India, said, "Since petrol is a deregulated commodity which moves in tandem with international rates, we are passing on the reduction to consumers.”