The year 2018 was one roller-coaster ride for India in terms of fuel prices: After hitting a lifetime peak in October, they seem to have cooled off to levels seen at the beginning of the year.
On Wednesday (Dec.26), petrol in Delhi was being sold at Rs69.79 per litre, nearly at par with the price on Jan.01 2018—Rs69.97 per litre. Diesel hovered at Rs63.83 per litre, slightly above the Rs59.7 on New Year’s day. Both petrol and diesel prices have been falling for six days on the trot in the national capital.
Meanwhile, in India’s financial capital Mumbai, petrol prices are currently around Rs75.41 per litre, even lower than Rs77.87 on Jan.01. Diesel prices in the western Indian city are currently at Rs66.70, as compared to Rs63.35 on the first day of the year.
In October, petrol prices in the western Indian city had crossed Rs91, while diesel prices were above Rs79.
However, prices of aviation turbine fuel (ATF) are up 15.56% this year in the country. Monthly average ATF prices in December stood at Rs68,050.97 per kilolitre as against Rs57,460 per kilo litre in January.
Petrol and diesel prices have been on a downward trend since October. Surging prices two months ago had forced the government’s hand. In a bid to rein in fuel prices, the government, on Oct. 04, announced the slashing of excise duty on petrol and diesel by Rs1.50 per litre and asked India’s oil marketing companies to further subsidise the fuels by another Re1 a litre.
The fall has come on the back of sharply falling global oil prices in the past few months due to rising supplies and concerns over a slowing global economy. Last week, brent crude, the international benchmark, fell below $53 a barrel, down almost a third from its price in October.