NEW DELHI: After a day’s pause, fuel prices were hiked again on Thursday (May 27, 2021). Petrol price in Mumbai reached near Rs 100 and in Bhopal, it touched Rs 101.77. Petrol price has been increased by around 23 paise while diesel price has been hiked by around 30 paise, as per the Indian Oil Corporation.
The new rates of petrol and diesel in major Indian cities will be Rs 93.68 and Rs 84.61 in Delhi, Rs 99.94 & Rs 91.87 in Mumbai, Rs 101.77 & Rs 93.07 in Bhopal, Rs 95.28 & Rs 89.39 in Chennai and Rs 93.72 & Rs 87.46 in Kolkata.
The fuel prices had remained unchanged on Wednesday after a hike on Tuesday. The rates have already crossed hundreds in many cities across the states like Madhya Pradesh and Rajasthan. Rates in Mumbai have also reached close to 100 now.
The prices of fossil fuels have been skyrocketing after a rise in the prices of crude oil in the international market. This is coupled with the high taxes levied by the Centre and states and the rope-dollar exchange rate.
The government-owned OMCs like Indian Oil Corporation, Bharat Petroleum and Hindustan Petroleum, change the rate for fuel vis-a-vis global crude prices. They also change it as per the changes in the foreign exchange rates. About half of the fuel price in India is made up of Central and state taxes levied on petrol and diesel.
The Central government tax makes up for Rs 32.90 per litre of the price of petrol in Delhi and while the state’s VAT is Rs 20.86. On the other hand, on diesel, the central excise levied is Rs 31.80 while state VAT adds Rs 11.83.