Public sector oil marketing companies raised prices of various transport fuels and non-subsidised LPG cylinders late on Monday on account of rising global prices of petroleum products and a weakening rupee against the US dollar.

The retail selling price of petrol and diesel was increased by ₹2.58 a litre and ₹2.26 a litre, respectively, in Delhi with a corresponding increase in other States.

After the price change, petrol costs ₹65.60 a litre in Delhi, while diesel costs ₹53.93 a litre.

Further, aviation turbine fuel (ATF) rates were also hiked by around 10 per cent. ATF will now cost ₹46,729.48 per kilolitre in New Delhi, inclusive of State levies.

The companies also raised the rates of non-subsidised LPG cylinders. In Delhi, inclusive of State levies, the increase was ₹21 per cylinder. Non-subsidised LPG cylinders will now cost ₹548 per cylinder. As a result, the difference between the subsidised and non-subsidised LPG cylinders in New Delhi stands at ₹128.12 per cylinder.

Commenting on the hikes, Economic Affairs Secretary Shaktikanta Das on Wednesday said the government was keeping a close watch on oil prices. “It is under control. I don’t see a cause of alarm,” he added.

Das declined to respond to the question on whether the government will review the excise duty on transport fuels and said: “All collections from the excise duty on fuel is being used for rural infrastructure, road and railway sector.”

Ravi Shankar Prasad, the Minister of Communications and Information Technology, said spending on rural infrastructure, road and railway sectors from excise duty collections on transport fuels had a multiplier effect on the economy.

“Sometimes oil companies are unable to lower prices as they have to adjust for when they withheld a price hike even when global crude oil prices were raised,” he added.

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