All the hue and cry over the recent petrol price hike will die down as petrol price has been cut for the first time in nearly three years by Rs. 2.22 per litre.

Price Cut: Petrol

The three state-owned oil companies, that hiked petrol price by Rs. 1.82 earlier this month, announced on Tuesday that they have decided to cut petrol price as they had gained Rs. 1.85 per litre (excluding all taxes) since the last price revision because of a fall in global oil rates and rise in rupee value.

Now, petrol will be cheaper by Rs 2.22/litre in Delhi. It will cost Rs 66.42 per litre as against Rs. 68.64 after the recent hike. In Mumbai, the reduction will be Rs. 2.34 per litre, which means a litre will cost Rs. 71.47. Petrol price in Kolkata will be Rs. 70.84 a litre after Rs 2.31 deduction while it will cost Rs. 70.38 per litre after Rs 2.35 deduction. The reduced price will come into effect from midnight.

It may be recalled that the opposition party and the allies of United Progressive Alliance (UPA) government slammed the central government for the hike in petrol price recently. West Bengal Chief Minister Mamata Banerjee even went to the extent of threatening the UPA that her party would withdraw support if the price hike was not rolled back.

Prime Minister Manmohan Singh stuck to his words, saying that his government would not roll back the price of petrol as it is up to the state-owned companies to decide it price following its liberalization last year. Now, the reduction in the petrol price will relieve to both the government and the public.