Amid rising crude oil prices in the international market, inflation continues to hit fuel prices across the country. However, petrol and diesel prices were kept unchanged on Wednesday, after the rates were hiked for a period of seven consecutive days.
In the national capital, petrol costs ₹104.44 a litre while the rate of diesel was ₹93.17 per litre, according to Indian Oil Corporation.
In Mumbai, the rate of petrol stands at ₹110.41 per litre and diesel at ₹101.03 for one litre.
In Chennai, a litre of petrol will cost you ₹101.79 and a litre of diesel ₹97.59.
Petrol rates in Kolkata stood at ₹105.09 per litre while diesel at ₹96.28 a litre.
Among the four metro cities, fuel rates are the highest in Mumbai, as per the state-run oil refiner. The rates vary across the states due to value-added tax or VAT.
State-run oil refiners such as Indian Oil, Bharat Petroleum, and Hindustan Petroleum revise the fuel rates on a daily basis, by taking into account the crude oil prices in the international markets, and the rupee-dollar exchange rates. Any changes in petrol and diesel prices are implemented with effect from 6 am every day.
The recent surge in global crude oil prices to near $83 a barrel is making policymakers and consumers nervous given that India meets over 80% of its oil needs through imports.
The Reserve Bank of India's monetary policy committee left the repo rate unchanged at 4% last Friday, while asking the government to consider lowering taxes on petrol and diesel to help contain inflation.
Rising oil prices pushed up retail fuel prices by 13.63% in September from a year ago period, while prices for clothing and footwear spiked 7.16%.
Further fuel price rises could add pressure to the Asia's third largest economy, and force the government to review fuel tax that now exceeds 100% of the base price, economists said.
