The depreciating value of the Indian rupee and hiked crude oil prices continues to haunt the commuters in the national capital and other states across the country. On Saturday, the fuel prices jumped to new record highs with a litre of petrol costing Rs 80.38 per litre and Rs 72.51 per litre that for Diesel in Delhi. Reports said that the fuel prices were pushed to their highest ever after petrol price was hiked by 39 paise per litre and diesel by 44 paise for the third straight day in Delhi. Besides Delhi, several other key cities have also come under the effect of hiked prices. In cities like Kolkata, Mumbai and Chennai, a per litre petrol is available at Rs 83.27, Rs 87.77 and Rs 83.54 respectively.
On the other hand, the diesel costs Rs 75.36, Rs 76.98 and Rs 76.64 in the cities of Kolkata, Mumbai and Chennai respectively. As per reports, petrol and diesel prices have increased by Rs 2.85 per litre and Rs 3.3 per litre respectively since August. Notably, the rapid fuel price hike in the country is caused due to a combination of rising in crude oil rates and fall of the Indian rupee against the US dollar.
Following the crisis, opposition parties on Thursday called for a Bharat Bandh on September 10. The opposition has demanded the central government to cut excise duty on fuel prices. However, Finance Minister Arun Jaitley denied the request saying international oil prices volatile and haven’t shown any linear movement.
According to reports, the Centre imposes a total of Rs 15.33 per litre of the excise duty on diesel and Rs 19.48 on petrol. Besides this, the states levy Value Added Tax (VAT) is all there. Delhi charges a VAT of 27% on petrol and 17.24% on diesel while Mumbai has a maximum VAT of % on petrol. On the other hand, Telangana levies the highest VAT of 26 per cent on diesel.