Petrol price was today slashed by Rs 3 per litre,the steepest reduction in rates in over five years.
The fourth reduction in rates since March means that petrol in Delhi will cost Rs 63.09 a litre with effect from Tuesday midnight.
Rates will vary from city to city depending on local sales tax or VAT. In Mumbai,petrol price has been cut by Rs 3.15 to Rs 69.73 per litre,while the fuel in Kolkata will cost Rs 70.35 from Wednesday as against Rs 73.48 per litre. The reduction in rates in Chennai would be Rs 3.18 per litre to Rs 65.90. The price cut comes after three consecutive rate reductions on the back of falling international oil prices.
State-owned oil firms,which revise rates every fortnight,had from April 16 cut petrol price by Rs 1.20 a litre in Delhi. On March 16,the rates were cut by Rs 2.40 per litre and by Re 1 in the following fortnight.
The price cut announced on Tuesday is the steepest since December 2008 when rates were slashed by Rs 5 to Rs 45.62 per litre. Announcing the reduction,Indian Oil Corp,the nations largest fuel retailer,said that since the last price change,international prices have declined from $116.61 per barrel to $107 a barrel. Rupee-US dollar exchange rate too improved from Rs 54.51 to a US dollar to Rs 54.26.