Petrol price on Thursday was cut by 16 paise per litre and diesel by 14 paise -- the fourth minor reduction in rates in three weeks that followed six months of relentless price increases. Petrol now costs Rs 90.40 per litre in Delhi, down from Rs 90.56, according to a price notification of state-owned fuel retailers.
A litre of diesel comes for Rs 80.73 per litre as against Rs 80.87 previously. Rates have been reduced across the country and vary from state to state depending on the local incidence of taxation (VAT).
Fuel prices were reduced for the first time in six months on March 24 after international oil prices fell on the prospect of speedy recovery in consumption getting clouded by the second wave of COVID-19 cases.
In all, rates were reduced on three occasions, the last being on March 30. They had remained on freeze thereafter as global rates edged up.
In three reductions, petrol price has come down by 61 paise per litre and diesel by 60 paise. After Thursday's price cut, the total reduction comes to 67 paise in case of petrol and 74 paise on diesel.
Despite bouts of rate freeze, prices had gone up by a record Rs 21.58 per litre on petrol since the government raised excise duty in March last year. Diesel prices had increased by Rs 19.18 a litre.
In Mumbai, the petrol price was cut to Rs 96.83 a litre on Thursday from Rs 99.98, while diesel rates were reduced to Rs 87.81 from Rs 87.96, the price notification showed.