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The reduction comes after 16 consecutive price increases since May 14 when fuel retailers ended a 19-day pre-Karnataka poll hiatus to pass on a spike in global oil rates
The increase pushed diesel price to its highest ever level of Rs 69.46 a litre in Delhi. In Mumbai, the fuel now costs Rs 73.74 a litre
Petrol and diesel prices Tuesday touched fresh highs as rupee dipped to a record low of 71.54 against US dollar, making imports costlier
The government does not want to take any populist measures - and derail the fiscal deficit target - in an election year
This is the second increase in petrol rates this month, while in case of diesel it wipes away a part of the hike effected earlier this month
The hike will be effective from midnight tonight
Post the price revision, to be effective tonight, petrol will be priced at Rs 64.76 including state taxes in Delhi while diesel will be priced at Rs 54.70 per liter
She said the price hike will lead to increase in prices of essential commodities
Movement of prices in the international oil market and the Rupee-Dollar exchange rate will continue to be monitored closely and developing trends of the market will be reflected in future price changes, said IOC
Post the change, effective today, petrol will be priced at Rs 63.02 per liter while a liter of diesel will cost Rs 51.67 per liter in Delhi, including state taxes
Petrol will cost Rs 60.09 a litre in Delhi from midnight of August 15, as compared to Rs 61.09 a litre currently
The changes will be effective from midnight
Petrol, diesel prices have started going down: Dharmendra Pradhan
The decision will cost the exchequer Rs 20 billion and will provide the people with a relief of Rs 2.5 per litre on petrol and diesel
Need to deepen petro product pricing reforms
As per the Ministry of Petroleum and Natural Gas's calculations, the reduction in excise duty will decrease prices of petrol and diesel by Rs 2.50 and Rs 2.25 per litre respectively in New Delhi.
But the windfall gain is restricted to some extent by low consumption in monsoon months
'All over the world the prices of petroleum products have gone down as the international prices have gone down,' Jaipal Reddy added
On Thursday, petrol per litre cost Rs 79.44 in Mumbai, Rs 74.28 in Kolkata and Rs 74.20 in Chennai