Buying diesel today? Your bill will be less by this amount; Mumbai drivers to benefit the most
For the Indian government, fuel is a major generator of revenue and that is why authorities have been reluctant to provide relief.
Where the state-owned Oil companies decided to keep petrol prices unchanged today, they reduced diesel prices in range of 7 paise to 11 paise in various state capital of India today. It needs to be noted that, diesel price are being cut after four days of status quo. Among the metro cities, Mumbai saw most cut in it's diesel prices, followed by Chennai. OMCs are reducing diesel prices but at a very gradual level, despite international crude oil prices slipping by over $2 a barrel Friday after two of the world`s biggest producers indicated they might increase output at next week`s OPEC meeting, even as U.S. exports were threatened by potential Chinese tariffs on crude oil and refined products.
With many state elections expected in the late 2018s, it has become very important for the NDA government to bring in relief for fuel products prices which were at record high last month.
Today, diesel price in New Delhi was down to Rs 67.78 per litre, down by 7 paisa as against Rs 67.85 per litre in previous day.
Similarly, diesel price in Kolkata was ruling at Rs 70.33 per litre today, which saw a cut of 7 paisa compared to previous day price of Rs 70.40 This city has clocked over Rs 72 per litre rate after Mumbai and Chennai respectively.
India's financial hub Mumbai was selling 1 litre diesel at Rs 72.13 today, which saw most cut of 11 paisa compared to previous day price of Rs 72.24. This city last month clocked a record high of over Rs 73 per litre in diesel prices.
In Chennai, the product was available at Rs 71.54 per litre today down by 8 paisa compared to previous day price of Rs 71.62 per litre.
Meanwhile, 1 litre diesel in other cities stood at Rs 68.87 in Bangalore, Rs 71.34 in Bhopal, Rs 72.65 in Bhubaneswar, Rs 65.82 in Chandigarh, Rs 68.11 in Dehradun, Rs 73.67 in Hyderabad, Rs 72.19 in Jaipur, Rs 67.93 in Lucknow, Rs 72.46 in Patna, Rs 73.18 in Raipur and Rs 71.17 in Srinagar.
According to a Reuters report, oil investors have been nervous ahead of the coming OPEC summit in Vienna. Saudi Arabia and Russia have already boosted production modestly, and have indicated they were prepared to increase output at that meeting.
Therefore, Brent crude oil fell $2.50, or 3.29 percent to settle at $73.44 a barrel. U.S. crude settled $1.83 lower at $65.06 a barrel. In post-settlement trading, U.S. crude retreated further, falling 2.25, or 3.4 percent, to $64.64 a barrel. Brent crude was on track to end the week down more than 4 percent, while U.S. crude was heading to fall 1.7 percent.