Petrol and diesel prices remained unchanged for over a month on Friday, 31 December.
The Delhi government had earlier decided to reduce the Value-Added Tax (VAT) on petrol, bringing down the price of the fuel in the city by about Rs 8 per litre. The decision was taken in a meeting of the Delhi cabinet chaired by Chief Minister Arvind Kejriwal.
At a cabinet meeting chaired by Kejriwal, it was decided that the VAT on petrol will be reduced from the present 30 percent to 19.4 percent, leading to a cut of around Rs 8 per litre, officials said.
The price of petrol after the VAT cut will go down from the current Rs 103 per litre to Rs 95 per litre, sources told PTI.
Earlier, the petrol price in Delhi was higher as compared to the NCR cities in Uttar Pradesh and Haryana, where the state governments had announced a VAT cut following the Centre reducing the excise duty on fuel prices.
The Centre had on the eve of Diwali, announced excise duty cut on fuels resulting in a sharp decrease in petrol and diesel prices across the country. The government had cut the price of petrol by Rs 5 and that of diesel by Rs 10. Following this decision, several states, mostly ruled by National Democratic Alliance (NDA) and allies have also cut the Value Added Tax (VAT) on petrol and diesel prices.
Opposition-ruled Punjab and Rajasthan also followed the cue to announce the biggest reduction in petrol prices. Petrol price in Punjab was further reduced by as much as Rs 16.02 per litre and diesel by Rs 19.61 a litre as a result of the combined impact of the excise duty and VAT cut, according to price lists shared by state-owned fuel retailers. VAT on petrol price was cut by Rs 11.02 while that in diesel was cut by Rs 6.77 in the state. In Ladakh, diesel saw the most reduction as rates have come down by Rs 9.52 per litre. This is because of a cut in VAT on top of Rs 10 a litre fall in excise duty.
In Delhi, petrol costs Rs 95.41 a litre while the rate of diesel was Rs 86.67 per litre.
In Mumbai, petrol can be bought at Rs 109.98 per litre and diesel costs Rs 94.14 for one litre.
In Chennai, a litre of petrol is priced at Rs 101.40. On Friday, the price of a litre of diesel was Rs 91.43 per litre.
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Petrol in Kolkata costs Rs 104.67 per litre while diesel costs Rs 101.56 a litre.
While petrol can be bought at Rs 107.23 in Bhopal, which is a cut by Rs 6.27, diesel costs Rs 90.87 per litre.
Following are the prices of diesel and petrol in a few metros and Tier-II cities in the country:
Petrol - Rs 109.98 per litre
Diesel - Rs 94.14 per litre
Petrol - Rs 95.41 per litre
Diesel - Rs 86.67 per litre
Petrol - Rs 101.40 per litre
Diesel - Rs 91.43 per litre
Petrol - Rs 104.67 per litre
Diesel - Rs 89.79 per litre
Petrol - Rs 107.23 per litre
Diesel - Rs 90.87 per litre
Petrol - Rs 108.20 per litre
Diesel - Rs 94.62 per litre
Petrol - Rs 100.58 per litre
Diesel - Rs 85.01 per litre
Petrol - Rs 94.58 per litre
Diesel - Rs 81.29 per litre
Petrol - Rs 95.28 per litre
Diesel - Rs 86.80 per litre
Petrol - Rs 95.35 per litre
Diesel - Rs 89.33 per litre
Petrol - Rs 106.36 per litre
Diesel - Rs 93.47 per litre