Over Rs 7 hike per litre in last 12 days 

Morung Express News
Dimapur | April 2

With the 10th increase in prices since March 22, petrol and diesel prices on April 2 have increased by over Rs 7 per litre each across Nagaland and the country. 
Petrol and diesel prices were on Saturday hiked by 80 paise a litre each across India, PTI news agency reported. 

As a result, a litre of petrol was retailing at Rs 104.50 in Dimapur on April 2, up from Rs 96.92 before March 22, indicating a cumulative increase by Rs 7.58 per litre. 

Likewise, a litre of diesel was also available for Rs 90.92 on Saturday, up from Rs.83.68, before the current cycle of price hike started a four-and-half-month long hiatus on March 22.  

The price of diesel, accordingly, is up by Rs 7.24 litre since March 22 in Dimapur. Similar patterns are observed across the state and the country. 

In Tuensang, where fuel prices are highest in Nagaland, a litre of petrol and diesel were selling for Rs 108.07 and Rs 94.07 respectively on April 2, informed data available on the Indian Oil Corporation Limited’s (OICL) official IndianOil One App. 

The rates on the app pertain to prices in IOCL outlets, and the cost might be higher in other PSU and private outlets or in unofficial makeshift retail stores across various locations in the State. 

However, the prices are yet to reach the record level breached in November 2 last year, before the Union Government announced reduction in Central Excise Duty on petrol and diesel by Rs 5 and Rs 10 respectively on November 4.  It was followed by an additional cut in Value Added Tax by Nagaland Government, bringing down the prices considerably. 

Before the cuts, petrol was hovering at record Rs 108.34 per litre in Dimapur, while diesel a retailing at Rs 100.60 a litre on November 3.  With the assembly elections scheduled in some crucial states, the daily revision of fuel prices was then put on a pause thereafter till March 22, 2022.  

However, going by the pace at which prices have surged during the last 12 days, it would not be long before it breaches the record November 2021 level, without intervention by the government.  

Among others, the current surge is linked to the Russia-Ukraine war affecting supply chain and increasing the global oil prices to record level.  

Fuel prices are supposed to be revised daily by public sector oil marketing companies depending on both domestic and global factors. The external factors such as the 15 days rolling average price of oil in the international market and the rupee-dollar exchange rate determines the base price. 

Internally, the final retail prices are inclusive of price charged to dealers (based price + freight etc), excise duty, average dealer commission, and VAT (including VAT on Dealer Commission). These rates differ across states in India, and even within a State, it varies from one location to another