Fuel Prices Remain Static, Revisions Expected Post Polls

Fuel prices in the country remained unchanged on Thursday as oil marketing companies decided to wait for state elections to get over before restarting daily revision of petrol and diesel produced in line with price movement globally.

Sources indicated that price revisions may begin early next month after the results of state elections are declared. However, whether the price of petrol and diesel would move up or down then would depend on the actual average global price in the last fortnight of March.

OMCs benchmark retail fuel prices to a 15-day rolling average of global refined products' prices and dollar exchange rate.

With no price change on Thursday, the pump price of petrol and diesel remained at Rs 90.40 a litre and Rs 80.73 a litre respectively in Delhi. These are 15 consecutive days when fuel prices have not been revised.

The price of the two auto fuels had fallen by 16 paisa and 14 paisa per litre respectively on April 15 after a 15-day break when OMCs kept its prices static. Thereafter revision of fuel prices has been halted.

The petrol and diesel price remained unchanged across the country on Thursday but its retail levels varied depending on the level of local levies on respective states.

Premium petrol, however, continues to remain over Rs 100 a litre in Mumbai and several other cities across the country.

The OMCs went on price cut for the first time this year on two consecutive days - March 24 and 25 after keeping oil prices steady for the past 24 days. It again reduced the price on March 30. Thereafter, fuel prices have remained unchanged for the past 15 days before falling again on April 15. In all petrol prices have fallen by 77 paisa per litre while diesel by 74 paisa per litre in 2021 so far.

Earlier, petrol and diesel prices increased 26 times in 2021 with the two auto fuels increasing by Rs 7.46 and Rs 7.60 per litre respectively so far this year.

With global crude prices at over $67 a barrel mark, OMCs may have to revise fuel prices upwards again if there is any further firming up.