A litre of diesel turned out to be more expensive than a litre of petrol after the price of the former was hiked by 48 paise on the 18th successive day of fuel price revisions. Petrol price remained the same.
Diesel will now cost more than petrol in Delhi after it was hiked by 48 paise on Wednesday after a fresh revision by oil marketing companies (OMCs).
After the fresh increase, a litre of diesel in Delhi will cost Rs 79.88 while price of petrol remains the same at Rs 79.76. Rates of both fuels are expected to cross Rs 80-mark in Delhi soon as OMCs keep revising prices upwards.
What has now made diesel prices higher in the capital?
In other metros, however, diesel maintains the tag of cheaper of the auto fuels with price differential between diesel and petrol prices remaining at about Rs 8 litre in Mumbai, Rs 6 a litre in Chennai and Kolkata.
What has now made diesel prices higher in the capital is the Delhi government's decision early May to increase Value Added Tax on diesel from 16.75 per cent to 30 per cent and on petrol from 27 per cent to 30 per cent. This increased the retail price of Diesel and petrol in Delhi by Rs 7.10 and Rs 1.67 a litre, respectively.