On the first day of September, petrol & diesel prices have been reduced by 13-15 paise across metro cities like Delhi, Mumbai. After remaining unchanged for several days petrol is now retailing at ₹101.34 in Delhi, whereas diesel at ₹88.77. At Mumbai, petrol is being sold at ₹107.39 per litre, and diesel at ₹96.33 per litre.
In the city, Kolkata, petrol prices stand at ₹101.72 per litre and diesel prices at ₹91.84 per litre.
In Chennai, petrol is being sold at ₹99.08 per litre and diesel prices at ₹93.38 per litre. Last month, petrol prices were cut by ₹3 per litre in Tamil Nadu.
In April, after the state polls, Tamil Nadu finance minister Palanivel Thiaga Rajan said Presenting his maiden budget, that the tax cut on petrol would mean a ₹3 per litre reduction.
The territorial administration has cut value-added tax (VAT) on petrol by 3%, With the cut, the price of petrol was said to be reduced by ₹2.43 per litre in Puducherry and Karaikal regions, Said the Puducherry government.
Due to value-added tax (VAT), Fuel rates vary across the states. The difference in the state prices occurs because of local taxes like VAT or freight charges.
Rajasthan, Madhya Pradesh, Maharashtra, Andhra Pradesh and Telangana are the states that levy the highest VAT on petrol and diesel in the country. To meet nearly 85 per cent of its oil needs India is dependent on imports and so benchmarks local fuel rates to international oil prices.
On Wednesday, the oil prices were stable. The major producers will decide on an OPEC+ meeting, whether to go ahead with their plan to add supply. The Organization of the Petroleum Exporting Countries (OPEC), Russia and allies, together called OPEC+ will decide together whether to stick with the plan to add 400,000 barrels per day each month through December.