State run oil cos to cut petrol prices from Thursday
The cut, the second straight this month could help to ease near double-digit inflation.
State-run oil firms will cut retail prices of petrol by 0.65 rupee a litre, excluding taxes, from Thursday, a company statement said on Wednesday, the second straight cut this month in a move that could help to ease near double-digit inflation.
The companies cut petrol prices by about 3.2 percent earlier this month, the first reduction in retail prices in nearly three years and the first since prices were decontrolled in June 2010.
State fuel retailers - IOC, Hindustan Petroleum Corp and Bharat Petroleum Corp tend to move their prices in tandem.
Petrol has a 1.09 percent weighting in the inflation index and near double-digit consumer prices have provoked criticism of the government, which subsidises other fuels such as diesel and cooking gas.
Oil companies revise petrol prices on 1st and 16th of every month on the basis of average international oil price and the foreign exchange rate in the previous fortnight.
Petrol for as cheap as Rs 55 per litre was one of the main promises of the Bharatiya Janata party (BJP) in its election manifesto for the 3 March assembly polls.