November 16, 2012: Along with the festive mood that Dussehera and Diwali have brought, a Re 1 decrease in the price of petrol per litre has brought some additional joy to motorists in the country. The three public sector oil marketing companies – IndianOil Corporation, Hindustan Petroleum Corporation and Bharat Petroleum Corporation – announced the price cut late yesterday.
In a press statement, IndianOil said: “It has been decided to revise the MS prices downward by Rs 0.95 per litre (excluding State levies) with effect from November 16.” However, it also struck a cautionary note: “Presently, the international oil prices are relatively stable. However, there has been significant volatility in the rupee-dollar exchange rate, with uncertainty about its future direction. The trends in the international oil market and rupee-dollar exchange rate are being closely monitored and the same shall be reflected in future price changes.”
The last reduction in petrol price before this decrease was the 56-paise cut to Rs 67.90 a litre, in New Delhi, on October 9. In June 2010, the government has allowed deregulation of petrol prices, a move which gave OMCs the freedom to fix rates in line with the cost.