Diesel prices touched an all-time high of Rs 64.50 per litre on Sunday and that of petrol rose to Rs 73.70 per litre, the highest in four years, in Delhi, PTI reported. State-owned firms raised the rates by 18 paise in the national Capital on Sunday.
Since June, fuel prices are revised daily. On January 24, petrol prices had hit a three-year high in the four metros.
A surge in global crude oil prices, curbs on production by the Organisation of the Petroleum Exporting Countries and high demand are considered the reasons for the increasing fuel prices.
Earlier this year, Finance Minister Arun Jaitley had turned down the oil ministry’s request to reduce excise duty on fuels in the Union Budget in order to soften the blow from rising international oil rates.
Besides the global factors and the exchange rate of the rupee, the excise duty that the Indian government charges adds to the final amount consumers pay.
The Centre, however, has asked states to cut the Value Added Tax they charge.
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