The government on Friday reduced the price of petrol by Re1 per litre, effective immediately for the next 18 days, ending April 15. This decision was made in response to requests from oil marketing companies, aiming to avoid supply disruptions ahead of Eidul Fitr.
The revised price of petrol is set at Rs254.63 per litre, down from Rs255.64, reflecting a 0.2% decrease. While the government left prices for high-speed diesel (HSD), kerosene, and light diesel unchanged, it raised the petroleum levy on high-octane blending component (HOBC) 97RON and 95RON by Rs20 per litre, bringing it in line with the levy on petrol and diesel at Rs70 per litre.
The price of HSD remains steady at Rs258.64 per litre. Kerosene and light diesel prices also stayed unchanged at Rs168.12 and Rs153.34 per litre, respectively.
Despite the zero general sales tax (GST) on petroleum products, the government continues to impose a petroleum levy of Rs70 per litre on petrol, diesel, and HOBC, along with customs duties and distribution margins that impact the overall cost.
This decision came after concerns raised by the Oil Companies Advisory Council (OCAC) about potential supply chain challenges due to the usual fortnightly revision falling on Eid day.
The OCAC noted that the decrease in petroleum prices over the past three revisions had led to limited inventory stocking by dealers, which could cause delays in fuel deliveries during the holidays. To mitigate these concerns, the government agreed to bring the price revision forward to March 29, ensuring smooth fuel availability during the festive period.
