Economy

Petrol crosses ₹100/litre mark in Leh, Andhra Pradesh, Telangana

PTI New Delhi | Updated on June 04, 2021

With today’s hike since May 4, petrol price has risen by ₹4.36 per litre and diesel ₹4.93.

After Rajasthan, Madhya Pradesh and Maharashtra, petrol price has crossed the ₹100-per-litre mark in Leh, in almost all districts of Andhra Pradesh and parts of Telangana after fuel prices were again hiked on Friday.

Petrol price was increased by 27 paise per litre and diesel by 28 paise a litre, according to a price notification of state-owned fuel retailers.

The hike - 18th in the last one month - took fuel prices across the country to a historic high.

 

In Delhi, petrol hit an all-time high of ₹94.76 a litre, while diesel is now priced at ₹85.66 per litre.

Fuel prices differ from state to state depending on the incidence of local taxes such as VAT and freight charges.

Petrol price is well above the ₹100-per-litre mark in all districts of Rajasthan, Madhya Pradesh and Maharashtra - the states which levy the highest value-added tax (VAT) in the country.

Improved demand results in global price rise

Retail prices have risen after an increase in international oil prices on investors' optimism that improving demand and a dwindling supply glut may mean the market can absorb any additional production from OPEC and its allies.

Brent crude - the global oil-price benchmark, has risen above USD 71 per barrel for the first time in two years.

Following the relentless price increase, fuel rates in places like Andhra Pradesh, Telangana and Leh have witnessed unprecedented levels.

Petrol is sold at over ₹100 per litre in almost all districts of Andhra Pradesh, except Vizag where it costs 99.75 a litre. Diesel in Vizag is priced at ₹94.08 per litre.

In Telangana, petrol prices crossed the psychological level in Adilabad (₹100.57) and Nizamabad (₹100.17).

Petrol costs ₹100.43 a litre in Leh.

Rajasthan levies the highest VAT on petrol and diesel in the country, followed by Madhya Pradesh, Maharashtra, Andhra Pradesh and Telangana.

Mumbai on May 29, became the first metro in the country where petrol was being sold at over ₹100-a-litre mark. Petrol now costs ₹100.98 per litre in the city and diesel comes for ₹92.99.

At Bellary, in Karnataka petrol is being sold at ₹99.83 per litre. In Bengaluru, petrol is priced at ₹97.98 per litre and diesel at ₹90.87.

The increase on Friday is the 18th increase in prices since May 4, when state-owned oil firms ended an 18-day hiatus in rate revision they observed during assembly elections in states like West Bengal.

For the week ended May 21, boosted by gold and currency assets, the reserve was at USD 592.894 billion

In 18 increases, petrol price has risen by ₹4.36 per litre and diesel by ₹4.93 a litre.

Rates are at the highest in the country in Sri Ganganagar district of Rajasthan where petrol comes for ₹105.81 a litre and diesel for ₹98.64 per litre. Madhya Pradesh's Shahdol district has petrol priced at ₹105.18 a litre and diesel at ₹96.31.

Oil companies revise rates of petrol and diesel daily based on the average price of benchmark fuel in the international market in the preceding 15-days, and foreign exchange rates.

Members of the Organization of the Petroleum Exporting Countries and their allies, a group known as OPEC+, earlier this week agreed to continue relaxing curbs on oil production, signalling their confidence in improving oil demand and a drop in the global supply glut.

The rollout of vaccines is helping governments to reduce coronavirus restrictions and resume more normal economic activity. That will help pare global oil stocks - which at one point last year threatened to overwhelm the world's ability to store them.

Published on June 04, 2021

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