Speculations of fuel price cut in the wake of falling international crude oil prices might have to be put to rest as the government on Thursday hiked excise duty on petrol and diesel by Rs 1.50 per litre.
Excise duty on normal or unbranded petrol has been hiked from Rs 1.20 to Rs 2.70 per litre while that of branded petrol has been hiked from Rs 2.35 to Rs 3.85 per litre.
Meanwhile excise duty on unbranded diesel has been hiked from Rs 1.46 to Rs 2.96 per litre while that of branded diesel has been hiked from Rs 3.75 to Rs 5.25 per litre.
State-owned fuel retailers Indian Oil Corp (IOC), Bharat Petroleum Corp (BPCL) and Hindustan Petroleum Corp (HPCL) following the fortnightly review practice, are due to revise rates of petrol and diesel on Saturday.
This gave rise to speculations that fuel prices might be reduced on sliding global oil rates. However the hike in excise duty might curtail the scope of price cut.
Petrol price was last cut by Rs 2.41 a litre on November 1. On the same day, diesel rates were reduced by Rs 2.25 per litre. A litre of petrol in Delhi today costs Rs 64.25 a litre.
