Diesel price down 14p to 15p today; Mumbai, Chennai see record cut; check rates here

For the Indian government, fuel is a major generator of revenue and that is why authorities have been reluctant to provide relief to consumers.

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Following the similar trend of petrol, the state-owned OMCs reduced diesel price in the range of 14 paisa to 15 paisa each per litre in various state capitals of India. In the past, diesel prices were stuck in the range of Rs 50 to Rs 60 per litre, but with the start of 2018, there is no stopping the rate hike in this crucial product, which still remains at record high. The rise was an outcome of higher crude oil prices and no relief in excise duty and Value Added Tax (VAT) which left no room for OMCs. Oil Ministry is likely to ask ONGC to bear subsidy burden instead of OMCs to bring relief in fuel price.

For the Indian government, fuel is a major generator of revenue and that is why authorities have been reluctant to provide relief.

Today, diesel price in New Delhi was raised to Rs 68.97 per litre, below 14 paise, compared to previous day's price of Rs 69.11 per litre.

Similarly, diesel price in Kolkata was ruling at Rs 71.52 per litre today, which was down 14 paise against previous day's price of Rs 71.66 per litre. This city has clocked over Rs 72 per litre rate after Mumbai and Chennai respectively. However, Mumbai and Chennai saw the biggest cut in diesel prices today.

India's financial hub Mumbai saw a cut of 15 paise in diesel price and is now selling at new price of Rs 73.43 per litre as against Rs 73.58 per litre of previous day.

In Chennai, the price was also below 15 paise and available at Rs 72.82 per litre on Monday, compared to previous price of Rs 72.97 per litre.

Moreover, international crude oil futures lost more ground on Monday as the market was weighed down by US output climbing to a record-high and expectations that OPEC members will raise supplies.

Therefore, as per Reuters, global benchmark Brent was down 34 cents, or 0.4 percent, at $76.45 a barrel by 0531 GMT, falling for a second session. U.S. West Texas Intermediate (WTI) crude futures dipped 3 cents to $65.78 a barrel. Last week, the market lost around 3 percent, adding to a near 5-percent decline from a week before.

From May 14 till today, diesel prices rose by Rs 3.18 per litre each in New Delhi and Rs 3.03 per litre in Kolkata. Whereas, Mumbai and Chennai saw the most hikes - as much as Rs 3.38 per litre and Rs 3.41 per litre respectively.