Diesel Price Hits New Records, Petrol Holds Station
Ever since the dynamic fuel price method was introduced auto fuels have become ever so costlier.
Things always seem to happen a bit differently at the national capital. The continuous diesel price hike there saw the fuel’s price surpass that of petrol.
On 20th July (Monday), a 12 paise hike in the diesel price in New Delhi saw the gap between it and petrol widen even further, since the latter’s price remained unchanged.
While petrol was sold at Rs. 80.43 per litre, diesel price was Rs. 81.64. There was no price change witnessed today and similarly prices of auto fuel remained unchanged for four days last week, with hikes observed on 19th and 20th July.
The difference of over Re. 1 per litre between the two fuels is likely to deter people from choosing diesel-powered cars, at least in Delhi, since such cars come at a premium.
Diesel price hike was witnessed at other metros too. In Mumbai, diesel cost rose by 12 paise to Rs. 79.83, In Chennai there was a 10 paise hike to Rs. 78.60 and in Kolkata too there was a 10 paise hike to Rs. 76.77. (All price revisions made on 20th July 2020).
Motorists are worried that this unprecedented pricing in New Delhi might be copied elsewhere too. If it is done, then it would impact every single sector and prices of commodities would increase.
Ever since the dynamic fuel price method was introduced in 2017, the price of auto fuel has rallied, much to the dismay of the end consumer.
While increase in fuel costs have been transferred to the consumer, benefits of reduction in costs have not been passed on, with the government absorbing the gains.
Oil companies began daily revision of fuel prices from 7th June after keeping the price unchanged for 82 days during the nationwide lockdown.
Since then, diesel price hike has been to the tune of Rs. 11.5 per litre and petrol by Rs. 9.5.