Fuel prices register steepest daily hike, up 50 paise/litre

New Delhi: Domestic fuel prices witnessed the steepest hike in the year so far with around 50-paise raise on Friday across the four metro cities.

Both petrol and diesel prices have been at their all-time high in the country for around a week now, due to increase in crude oil prices and depreciation in the rupee against the dollar. Weakening of the Indian rupee makes the import of crude oil expensive.

In the national capital, petrol prices rose by 48 paise to Rs 79.99 per litre on Friday, from Rs 79.51 per litre on Thursday, according to data on the Indian Oil Corporation’s website.

Similarly, in the other key cities of Kolkata, Mumbai and Chennai, cost of petrol rose by 47 paise, 48 paise and 51 paise to Rs 82.88, Rs 87.39 and Rs 83.13 per litre on Friday, respectively.

Among the domestic factors, high excise duty in the country is a major factor for high fuel prices, according to market observers.

In tandem with petrol prices, cost of the other key transportation fuel, diesel, also increased on Friday. In fact, the rise in diesel prices was above 50 paise per litre across the four major cities.

Both in Delhi and Kolkata, diesel prices rose by 52 paise to 72.07 and Rs 74.92 per litre respectively. In the other metropolitan cities of Mumbai and Chennai, it was up 55 paise and 56 paise respectively, at Rs 76.51 and Rs 76.17 per litre on Friday.

The rise in diesel prices attract concern as the fuel is used in the transportation of goods including agriculture products and high prices of the fuel may lead to higher inflation in the country.