In India, fuel prices differs from state to state depending on the VAT (Value Added Tax or the local taxation) and freight prices. Also along with this, central government charges an excuse duty on auto fuels.
When the fuel prices touched a new record the Centre had announced a reduction of Rs 5 per litre in excise duty on petrol and Rs 10 per litre on diesel in the first week of November.
The decision to reduce the VAT on fuel in Delhi was taken during a Cabinet meeting which was chaired by Delhi chief minister Arvind Kejriwal.
Now petrol in Delhi has been reduced by Rs 8, after the reduction of VAT from 30% to 19.40%.
Earlier petrol costed Rs 103.97 but now after reduction it will now cost Rs 95.97.
Except for Delhi the price of petrol in other metro cities remain above Rs 100.
Mumbai – Rs 109.98 per litre
Kolkata – Rs 104.67 per litre
Chennai – Rs 101.4 per litre
Indian oil, Bharat Petroleum, Hindustan Petroleum refreshes their fuel rates on a daily basis according to the prices of the crude oil in International markets and ₹-$ exchange rates.