price of gasoline and diesel
If you are planning a long trip. And if you are thinking that the government will soon announce a price reduction, then this news is for you. In fact, due to huge fluctuations in international crude oil prices, there is no reduction in domestic petrol and diesel prices despite cost reduction. An official from the oil ministry said that nothing can be said about price reduction even before the Maharashtra Assembly elections. Brent crude futures, the global oil benchmark, fell below $70 a barrel last week, the lowest level since December 2021. But then its price rose again. On Thursday, Brent was trading at $74.58 per barrel.
Why does this happen?
Crude oil is converted into fuels such as gasoline and diesel at the refinery. In such a situation, due to the fall in crude oil prices, expectations of reduction in fuel prices are also increasing. But this has not happened yet. Prices of gasoline and diesel have remained stable for more than two years, except for pre-election cuts earlier this year.
A senior official in the oil ministry, speaking on condition of anonymity, said there are many fluctuations in crude oil prices. One day, prices fell below $70 per barrel, but then rose again. He said that as long as fluctuations in crude oil continue, there is little chance of public sector oil companies revising prices in line with their costs. The three state-owned fuel retailers have been making good profits from petrol and diesel for some time, but before they decide to lower prices, they want to ensure an improving trend in prices.
read this too
Oil became cheaper by 2 rupees
Indian Oil Corporation (IOC), Bharat Petroleum Corporation Limited (BPCL) and Hindustan Petroleum Corporation Limited (HPCL) have not made any price revisions in cost terms since 2021. The oil companies had stabilised retail prices in April 2022. During this period, petrol and diesel were reduced only once by Rs 2 per litre ahead of the 2024 general elections.
Asked about the possibility of reducing petrol and diesel prices ahead of the assembly elections in Maharashtra, this official expressed his inability to give a clear answer. India imports 85 per cent of its oil needs and its fuel is priced based on international rates. The price of petrol in the national capital is Rs 94.72 per litre, while the price of diesel is Rs 87.62 per litre.
