Petrol prices up by over Rs 3 in fourth hike this year
New Delhi   16-Sep-2011

You and me will have to pay Rs 3.14 to Rs 3.32 more for every litre of petrol from Friday. This is the fourth time petrol price has been revised in 2011 and the ninth time since government decontrolled it.

The three state-run oil-marketing companies have cited increase in global crude oil price and depreciating rupee for revising petrol price. The Indian crude basket was hovering around $108.94 a barrel on Wednesday.

With this revision there would not be any under-recovery on petrol, PK Goyal, director (finance) at IOC, India’s largest oil marketing company, told Financial Chronicle.

BPCL chairman and managing director RK Singh told FC that rupee’s fall had hit fuel prices.

“Loss on petrol sales till September 15 was Rs 2,427 crore for the entire industry, which was not passed on to customers. If the prices had not been revised, the loss to OMCs would have been Rs 15 crore every day on selling petrol,” IOC said in an email statement on Thursday.

Financial Chronicle had reported on Thursday that OMCs were considering raising petrol price by Rs 3.14 per litre.