Published: Sat, April 14, 2018
Medicine | By Brett Sutton

Petrol Prices Drop For Second Day, Diesel Prices Hiked Marginally

Petrol Prices Drop For Second Day, Diesel Prices Hiked Marginally

The strategic partnership for Ratnagiri Refinery & Petrochemicals Ltd. (RRPCL) brings together crude supply, resources, technologies, experience and expertise of multiple oil companies with an established commercial presence around the world, Indian ministry of petroleum and natural resources said in a statement. Since 2014, the central government has continued to reap the benefits of the oil price crash, but crude prices are boiling as the government gears up for elections in 2019.

This time around IOC, Hindustan Petroleum Corp Ltd (HPCL) and Bharat Petroleum Corp Ltd (BPCL) have reportedly been asked to absorb up to Re 1 a litre hike. Instead, they adopted a daily price revision system to instantly reflect changes in cost.

HPCL Chairman and Managing Director M K Surana too said the company is not aware of any directive to oil companies not to pass on the rise in worldwide oil prices. Since then, prices are revised on a daily basis.

Crude prices have hit four-year highs and have surpassed $70 per barrel over rising tensions in West Asia after Europe's air traffic control agency warned of possible air strikes on Syria in the next 72 hours. Today, petrol price was cut by 4 paisa to Rs 73.94 a litre, while diesel rate was cut by 3 paisa to Rs 64.93. "Govt said to ask oil cos to absorb Re 1/litre price hike; Govt said to rule out excise duty cut to lower oil prices", ET Now reported.

As the price of a barrel of Brent crude surpassed the $70 mark in the worldwide market, the government is looking to control the increase in retail prices. With that, while petrol prices came down for a second straight day, diesel prices returned to Wednesday's levels.

At the same time, it is being speculated that the Centre has asked the PSU retailers not to pass on the higher prices of crude to consumers in the run-up to the general elections next year.

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