Petrol, diesel prices hiked by 80 paise per litre in Delhi-NCR
Premium- In Mumbai, the quantum of price hike was higher. Petrol price was increased by 84 paise to and diesel was up 85 paise
New Delhi: Oil marketing companies have raised prices of petrol and diesel for the third day this week across the country.
With the latest price hike of 80 paise per litre, prices of both transport fuels have been cumulatively raised by ₹2.40 in the national capital since daily price revision resumed on 22 March. On Thursday, prices were steady after revision for two days in a row.
In Delhi, petrol is now priced at ₹97.81 and diesel is sold for ₹89.07 per litre. In Mumbai, the quantum of price hike was higher. Petrol price was increased by 84 paise to ₹112.51 per litre and that of diesel was up 85 paise to ₹96.70.
Experts are of the view that oil marketing companies will continue to increase prices in a staggered manner going ahead as crude oil prices have surged over $40 per barrel during the four months when retail fuel prices remained static.
D.K. Srivastava, chief policy advisor, EY India, said: “For two consecutive days on 22 and 23 March 2022, diesel and petrol prices have been increased by 80 paise per litre on each day. LPG price was also hiked in tandem. These may be only the first instalments of an unavoidable rising trend."
According to Moody's Investors Service, during the four months when fuel prices were static despite a surge in crude prices, the state-owned refining and marketing companies -- Indian Oil Corporation, HPCL and BPCL -- together have lost around $2.25 billion ( ₹19,000 crore) in revenue on petrol and diesel sales.
"We estimate IOCL's revenue loss to be around $1-$1.1 billion while that of BPCL and HPCL to be about $550-$650 million over the same period, " Moody's said in a report.
Crude oil prices traded on a volatile note during the early trade session on Friday. Brent crude prices rose above the $119 per barrel mark after falling to $117.55 per barrel intra-day.
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Around 9.05 am, the May contract of Brent futures on the Intercontinental Exchange was trading at $119.74, higher by 0.60% from its previous close.
The May contract of the West Texas Intermediate (WTI) on the NYMEX rose 0.25% to $112.62 a barrel.
Gains in crude oil prices were capped by hopes of more release of emergency oil stock by the member countries of International Energy Agency.
During a media briefing on Thursday, after a ministerial meeting of IEA on the backdrop of the continuing Russia-Ukraine conflict and its impact on the global energy market, US energy secretary Jennifer Granholm said: “With respect to the emergency stockpiles, these are ongoing discussions and all those tools are certainly on the table."
High global crude oil prices have a major impact on India as the country imports 85% of its energy requirements. The recent incessant rise in global crude prices have lifted the price of the Indian energy basket, comprising Oman, Dubai and Brent crude.
It was recorded at $115.44 per barrel on 23 March, according to data from the Petroleum Planning & Analysis Cell of the Ministry of Petroleum and Natural Gas.
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