State-run oil marketing companies (OMCs) cut the prices of key domestic transport fuels -- petrol and diesel -- for the fifth consecutive day on Monday on lower global crude oil prices.
According to the IndianOil Corp data, petrol prices were cut by 30 paise to Rs 86.91 per litre in Mumbai.
Across the other major metros, petrol was priced at Rs 81.44 per litre in Delhi, Rs 83.29 in Kolkata and Rs 84.64 in Chennai on Monday.
As per the country's pricing mechanism, the domestic fuel prices depend on international fuel prices on a 15-day average besides the value of the rupee.
Prices vary from region to region due to local taxes as the product is excluded from the GST regime. Delhi has the lowest tax rate among the four metro cities.
In tandem with petrol, the cost of diesel declined on Monday across the four metros.
The price of diesel in Mumbai was at 78.54, down 28 paise from its previous price of 78.82 on Sunday.
Similarly, prices of diesel in Delhi, Kolkata and Chennai declined to Rs 74.92, Rs 76.77 and Rs 79.22 a litre, respectively, from Sunday's Rs 75.19, Rs 77.04 and Rs 79.51, respectively.
In the past five days, the petrol prices were cut cumulatively by Rs 1.38 per litre and diesel by 81 paise per litre in Mumbai.
The downward revision also comes on the back of multiple factors such as lower international crude oil cost and a strengthened rupee against the US dollar.
Accordingly, UK Brent crude was priced below $80 per barrel, which in the recent past traded around $85 a barrel, while the rupee closed on Friday at 73.50 to the greenback from its previous close of 73.61 to a US dollar.
On a daily basis, the decline in petrol and diesel prices commenced on Thursday nearly a fortnight after Finance Minister Arun Jaitley announced a cut in excise duty by Rs 1.50 a litre.
Additionally, the state-owned oil marketing companies (OMCs) had been mandated to reduce prices of petrol and diesel by Re 1 a litre. This is the first time after the announcement that the prices have come down.
The downward revision also comes on the back of multiple factors such as lower international crude oil cost. On Friday, Brent crude was priced at $79.78 per barrel, which in the recent past had traded at over $86.
(With IANS inputs)
Updated Date: Oct 22, 2018 18:36 PM