NEW DELHI: As crude oil prices went past the $80 mark on Thursday, one may really feel the singe of boiling oil prices. Fuel expenses were inching up actually every day across the country. On Friday, petrol worth in the national capital of Delhi hit Rs 75.61, up 29 paise from Rs 75.32 on Thursday. The Finance Ministry in the meantime once once more dominated out an excise responsibility cut, which means that that retail gasoline prices are unlikely to cool down any time quickly.
But, let's take a step back and see which main metro in the country actually witnessed the highest surge in petrol over the last seven years.
It is the commercial capital of Mumbai which holds this difference having witnessed the steepest hike since 2011. On May 15, 2011 a litre of petrol would price Rs 68.33 in Mumbai, a good Rs 14.35 lower than what you could possibly pay these days.
Seven years ago, Delhi-- which has noticed the second one highest surge in petrol worth -- was once retailing petrol at Rs 11.99 much less per litre.
Compared to Mumbai and Delhi, the tech capital of Bengaluru has had a miles smoother run with the black gold worth rising through just Rs 4.94 per litre over the last seven years.
While, Chennai saw a surge of Rs 10.43 per litre throughout the duration, Kolkata witnessed an increase of Rs nine.83 per litre.
FUEL PRICE FLUCTUATION FUNDA
Fuel prices are decided through numerous components like international crude oil prices and taxes imposed on it closer house. The variance in these components thus, result in fluctuation in what a client actually will pay. So this increase over time is not just a gradual uptrend.
For example, within a year of petrol being Rs 63.37 a litre in May 2011 in Delhi, the speed had shot as much as Rs 72 in May 2012 sooner than falling back to Rs 63 in the same month in 2013. The pattern can be mapped in case of different towns as smartly. The triggers once more were the volatility in crude prices on more than a few international cues.
Of overdue, the trade in gasoline prices gave develop into a more common characteristic. Since June 16 remaining year, the federal government allowed oil corporations to revise gasoline prices on a daily basis, bringing up 'transparency' in pricing with regard to international charges as the reason. Ahead of that, gasoline prices were revised each and every 15 days - a device that was once devised after the pricing of petrol and diesel was once deregulated in 2010 and 2014, respectively.
DIFFERENT FUEL PRICES ACROSS CITIES
As discussed previous, there's a bevy of taxes levied on gasoline. In reality, nearly part (48.2 per cent) of what you pay for a litre of petrol is constructed from central taxes (like excise responsibility and state ones (like VAT). While the excise responsibility on petrol is a continuing characteristic across the country, Value Added Tax (VAT), charged through state governments range.
For example, Maharashtra fees 25 per cent VAT on petrol in Mumbai, Navi Mumbai and Thane, whilst the remainder of the state will pay 26 per cent VAT on it. On the other hand, Delhi fees 27 per cent VAT on a litre of petrol.
UNIFORM FUEL PRICES POSSIBLE?
Since the roll out of Goods and Services Tax (GST) in June 2017, speculations and analyses were rife on the prospect of bringing petroleum merchandise under the ambit of the new tax regime. Probably, the most certain response got here in December remaining year when Finance Minister Arun Jaitley whilst talking in the higher area of the Parliament stated, "We are in favour of bringing petroleum under GST."
However, numbers suggest that if petrol, diesel is taxed under the highest 28 per cent slab of GST, it will no longer bode smartly for states' exchequer.
Read complete tale: Petrol, Diesel under GST: How does it determine?
Earlier this month, TOI reported quoting sources that the central govt is unlikely to extend the GST net to petroleum merchandise, thus bringing it on the similar web page as state governments which were at all times adverse to the idea.
Read right here: Govt to stay petrol, diesel out of GST net
But, let's take a step back and see which main metro in the country actually witnessed the highest surge in petrol over the last seven years.
It is the commercial capital of Mumbai which holds this difference having witnessed the steepest hike since 2011. On May 15, 2011 a litre of petrol would price Rs 68.33 in Mumbai, a good Rs 14.35 lower than what you could possibly pay these days.
Seven years ago, Delhi-- which has noticed the second one highest surge in petrol worth -- was once retailing petrol at Rs 11.99 much less per litre.
Compared to Mumbai and Delhi, the tech capital of Bengaluru has had a miles smoother run with the black gold worth rising through just Rs 4.94 per litre over the last seven years.
While, Chennai saw a surge of Rs 10.43 per litre throughout the duration, Kolkata witnessed an increase of Rs nine.83 per litre.
FUEL PRICE FLUCTUATION FUNDA
Fuel prices are decided through numerous components like international crude oil prices and taxes imposed on it closer house. The variance in these components thus, result in fluctuation in what a client actually will pay. So this increase over time is not just a gradual uptrend.
For example, within a year of petrol being Rs 63.37 a litre in May 2011 in Delhi, the speed had shot as much as Rs 72 in May 2012 sooner than falling back to Rs 63 in the same month in 2013. The pattern can be mapped in case of different towns as smartly. The triggers once more were the volatility in crude prices on more than a few international cues.
Of overdue, the trade in gasoline prices gave develop into a more common characteristic. Since June 16 remaining year, the federal government allowed oil corporations to revise gasoline prices on a daily basis, bringing up 'transparency' in pricing with regard to international charges as the reason. Ahead of that, gasoline prices were revised each and every 15 days - a device that was once devised after the pricing of petrol and diesel was once deregulated in 2010 and 2014, respectively.
DIFFERENT FUEL PRICES ACROSS CITIES
As discussed previous, there's a bevy of taxes levied on gasoline. In reality, nearly part (48.2 per cent) of what you pay for a litre of petrol is constructed from central taxes (like excise responsibility and state ones (like VAT). While the excise responsibility on petrol is a continuing characteristic across the country, Value Added Tax (VAT), charged through state governments range.
For example, Maharashtra fees 25 per cent VAT on petrol in Mumbai, Navi Mumbai and Thane, whilst the remainder of the state will pay 26 per cent VAT on it. On the other hand, Delhi fees 27 per cent VAT on a litre of petrol.
UNIFORM FUEL PRICES POSSIBLE?
Since the roll out of Goods and Services Tax (GST) in June 2017, speculations and analyses were rife on the prospect of bringing petroleum merchandise under the ambit of the new tax regime. Probably, the most certain response got here in December remaining year when Finance Minister Arun Jaitley whilst talking in the higher area of the Parliament stated, "We are in favour of bringing petroleum under GST."
However, numbers suggest that if petrol, diesel is taxed under the highest 28 per cent slab of GST, it will no longer bode smartly for states' exchequer.
Read complete tale: Petrol, Diesel under GST: How does it determine?
Earlier this month, TOI reported quoting sources that the central govt is unlikely to extend the GST net to petroleum merchandise, thus bringing it on the similar web page as state governments which were at all times adverse to the idea.
Read right here: Govt to stay petrol, diesel out of GST net
Maximum city Mumbai sees max hike in petrol price in 7 years
![Maximum city Mumbai sees max hike in petrol price in 7 years]()
Reviewed by Kailash
on
May 19, 2018
Rating:
