[RohanDheman]

Speed 97 is now available at ₹80.28 in Delhi!

[zalaps]

Originally Posted by bullrun87

At a petrol vs diesel gap of just Re 8 one would need to run his diesel car about 30k kms yearly in India to breakeven!!!

Originally Posted by sgiitk

In the great Ulta Pradesh due to the silly 'Floor' VAT the drop is only ₹1.76 for Petrol and 0.38 for Diesel. They need the extra cash for the Lion Safari park to kill the Lions which have to be replaced with disgusting frequency. Of course price increases are also cushioned.

Originally Posted by saket77

Here in JH too, drop in petrol is just Rs. 1.76 and 0.44 p for diesel despite a bigger cut announced.

Petrol is now Rs. 65.16 and diesel is retailing at 57.64.

Gujarat seems in another direction altogether. Check out prices as on today -

Diesel - 60.24
Petrol - 64.12

Difference of INR 3.88 only

Where this will stop? Both fuels will have same price?

[sgiitk]

@zalaps; This is great news. Why should we poor petrolheads pay for upgrading refineries to produce Euro-VI diesel. The cost of upgrading the petrol part is relatively peanuts. Of course you have a unit in GJ already producing Euro-Vi fuels.

[sumzup]

Folks, the crude price has softened during these couple of weeks and so the trend is price reduction. We can easily expect a reduction of around a Re 1 on petrol and around 0.80 paisa on diesel. The reduction could be slightly more on petrol but can't be too sure. Cheers

[mohan41]

Nine excise duty hikes over a span of few months helped the government nearly treble its excise mop up from petrol and diesel to about Rs 70,000 crore in 2015-16, Parliament was informed today.

In a written reply to a question in the Lok Sabha, Minister of State for Finance Santosh Kumar Gangwar said the collections from additional duty of excise on petrol stood at Rs 17,217 crore and that of high speed diesel oil at Rs 52,592 crore during fiscal year 2015-16. This takes the total to Rs 69,863 crore. The additional collections on account of excise duty hikes in petrol and high speed diesel stood at Rs 26,108 crore in 2014-15 and Rs 19,263 crore in 2013-14.

Source: http://www.dnaindia.com/money/report...rnment-2239250

[babu.sundaram]

Originally Posted by zalaps

...Difference of INR 3.88 only

Where this will stop? Both fuels will have same price?

Diesel should become higher than petrol (as it happens elsewhere).

Originally Posted by sgiitk

...The cost of upgrading the petrol part is relatively peanuts. Of course you have a unit in GJ already producing Euro-Vi fuels.

Good point sir. With most refineries being Govt owned and it is costlier to upgrade diesel units, it makes sense to reduce the demand in first place!

[RohanDheman]

Just in: Petrol down by 1.42 and diesel by 2.01



Rohan

[sgiitk]

As expected thanks to floor VAT the price cuts in UP are lower. Petrol is down by ₹1.11 to 64.71 and Diesel by 1.72 to 53.87.

As was explained by the FM in Parliament the price reductions are shared three ways (almost equally), the consumer, OMCs and Government. OMCs need the money to invest in Euro-VI refineries (mostly for Diesel).

[rajshenoy]

Can someone explain how at times we have more reduction(or hike) in Diesel as compared to petrol and sometimes it is totally opposite ??

For example, the current reduction has been more for diesel as compared to petrol, but the last such reduction was in favor of petrol.

Just trying to understand the logic or the formula here which seem to fluctuate in favor of diesel and petrol alternatively and seems artificial !!

[sumzup]

Originally Posted by rajshenoy

Can someone explain how at times we have more reduction(or hike) in Diesel as compared to petrol and sometimes it is totally opposite ??

For example, the current reduction has been more for diesel as compared to petrol, but the last such reduction was in favor of petrol.

Just trying to understand the logic or the formula here which seem to fluctuate in favor of diesel and petrol alternatively and seems artificial !!

Hey Raj, AFAIK, there is very little economic sense to this infancy act other than trying to bring parity to the prices of petrol and diesel by varying one more at one time and the other the next time. But to me, the diesel definitely plays a big role in rural economics than the urban and also with the transportation involving all the activities of the government. So, given a chance I would try to leverage diesel to better manage the macro inflation contributors. There could be a long-time strategy aimed at managing the inflation numbers over the next six months as the monsoon has been good and will add to lowering the overall price index.

[condor]

Crude already up by 2+ $ this month. Add to that:

https://in.finance.yahoo.com/news/oi...005252299.html

[sgiitk]

Already Bihar has hiked VAT on both Petrol (1.5%) and Diesel (I think just under 1%). This may be to compensate the revenue loss due to Price reduction and/or prohibition.

[bullrun87]

Fuel prices may reduce tomorrow. http://m.thehindubusinessline.com/ec...cle8988843.ece

[RohanDheman]

Petrol down by ₹1 and diesel by ₹2



Rohan

[sgiitk]

This drop is a surprise. I was expecting a small hike or at best status quo. Let us wait for the papers tomorrow to see the exact quantum in our states. The OMCs must realise that Indis is somewhat bigger than Delhi. They should announce the drop/increase sans VAT.