Petrol price up by 89 paise per litre, diesel 86 paise

Petrol price, on Saturday, was raised by 89 paise per litre, the sixth increase in rates since September, and diesel by 86 paise a litre, the third increase in a month.

The price hike announced by Indian Oil Corp (IOC) is excluding local sales tax or VAT and will be effective from Sunday midnight. After including VAT, petrol in Delhi will cost Rs 67.62 a litre from midnight tonight, up Rs 1.17 from Rs 66.45 per litre currently. Similarly, diesel will cost Rs 56.41 a litre after including VAT in Delhi, up Rs 1.03 as compared to Rs 55.38 at present.

This is the sixth increase in petrol price since September 1, the last hike being on October 16 by Rs 1.73 a litre. The five previous hikes had totaled to Rs 6.36 a litre and after including Saturday's increase, the price of petrol has gone up by Rs 7.53 per litre in just over two months. In case of diesel this is the third price increase in a month, the previous being of Rs 2.77 per litre on October 16. The three price increases total to Rs 3.90 a litre.

"The current level of international product prices of petrol and diesel and rupee-US dollar exchange rate warrant increase in selling price of petrol and diesel, the impact of which is being passed on to the consumers with this price revision," IOC said in a statement. IOC said the movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely and developing trends of the market will be reflected in future price changes.