On Monday petrol price was drops by Rs 1 per litre and diesel by Rs 2 per litre, following a decrease in international prices. In Delhi from midnight of August 15, Petrol will cost Rs 60.09 a litre as compared to Rs 61.09 a litre presently. Today state-run Indian Oil Corporration conveyed in a declaration that, on the other hand, diesel will cost Rs 50.27 per litre, as next to Rs 52.27 at present.
It has also further conveyed that, the present level of international product prices of petrol and diesel and rupee-dollar exchange rate warrant drops in selling prices of both petrol and diesel, the impact of which is being passed on to the costumers with this price revision.
The previous decrease in prices was on July 31, when oil marketing companies depreciates the price of petrol by Rs 1.42 a litre and diesel by Rs 2.01 per litre, which was the third reduction in that month, following the global cues. Usually, public sector oil marketing companies go for a revision in petrol and diesel prices on every fortnight.
The major factors that determine a price reduction are the changes in international prices and the rupee versus dollar exchange rate. The international crude oil price of Indian Basket as computed on August 12 by Petroleum Planning and Analysis Cell (PPAC) below the Ministry of Petroleum and Natural Gas was $ 41.82 per barrel.
This was inferior to the price of $ 41.97 per barrel on previous publishing day of August 10. In rupee terms, the price of Indian Basket depreciated to Rs 2795.77 a barrel, as compared to Rs 2801.43 per barrel on August 10.