Petrol price is now past ₹84 in Delhi, over 62% of it is taxes
Jan 7, 2021, 10:20 IST
- Petrol has reached an all-time high of ₹84.20 in Delhi after a hike of 23 paise.
- Over 62% of petrol’s price includes taxes such as Excise and VAT, which is charged by the government.
- Rising crude oil prices in the international market have contributed to the increase in petrol prices.
- The price of diesel has been hiked by 26 paise and is now available for ₹74.38.
Advertisement
Petrol prices hit an all-time high today after the state-owned fuel companies hiked the prices once again. The petrol prices were also hiked on January 6 after a month-long hiatus. Rising crude oil prices and taxes have contributed to an increase in petrol prices.Out of the total price, over 60% of the price is made up of taxes such as VAT and Excise. As per the price breakup shared by IOCL on January 1, we have calculated the price buildup for petrol on January 7.
The global oil prices have increased over the past few days as Saudi Arabia has announced a voluntary output cut of 1 million barrels per day. The Brent crude prices on Wednesday increased by 8 cents and are currently at $54.38 per barrel.
Petrol prices get costlier
| Date | Jan-01 | Jan-07 | % |
| Petrol price | ₹83.71 | ₹84.2 | |
| VAT | ₹19.32 | ₹19.43 | 23.08 |
| Dealer commission | ₹3.67 | ₹3.69 | 4.38 |
| Excise | ₹32.98 | ₹33.17 | 39.4 |
| Price charged to dealer | ₹27.74 | ₹27.9 | 33.14 |
Source: IOCL
Advertisement
Prior to today’s prices, the previous all-time high of ₹84 was recorded in Delhi on October 4, 2018, and diesel also reported its all-time high of ₹75.45 on the same day.
On Wednesday, the fuel retailers hiked the fuel prices after a month-long hiatus amid rising international prices. Petrol price was hiked by 26 paise and the diesel price was hiked by 25 paise.
Petrol and diesel prices in other cities
| City | Petrol | Diesel |
| Mumbai | ₹ 90.81 | ₹ 81.05 |
| Chennai | ₹ 86.95 | ₹ 79.70 |
| Hyderabad | ₹ 87.75 | ₹ 81.15 |
| Kolkata | ₹ 85.66 | ₹ 77.96 |
The petrol prices in India change depending upon the taxes, dollar exchange rate and global oil prices.
Advertisement
SEE ALSO:Oil will surge 21% this year even as spiking COVID-19 infections hamper near-term demand, Goldman Sachs says
Crude oil prices surge on hopes that OPEC+ will limit the output at current levels
Petrol and diesel prices remain unchanged across Delhi, Mumbai, Chennai and Kolkata for 13th straight day