There is good news for the general public troubled by the continuous increase in petrol and diesel prices. The government has decided to cut the prices of petrol and diesel from 30 January 2025. This decision has been taken due to a fall in crude oil prices in the international market. This step is expected to get some relief from inflation to the common man.
According to the new rates, the price of petrol has been cut by Rs 2 per liter and diesel by Rs 1.50 per liter. This deduction will be applicable in all states across the country. However, there may be a slight difference in prices due to tax and other charges applicable in various states. Let us know in detail about this new announcement.
Petrol Diesel Price Cut: At a glance
| Description | Information |
| Date of implementation | 30 January 2025 |
| Petrol cut | 2 rupees per liter |
| Diesel cut | Rs 1.50 per liter |
| Beneficiary | All vehicle owners and consumers |
| Reason | Crude oil prices fall in international market |
| Applied area | All over India |
| Decision -making institution | Ministry of Petroleum, Government of India |
| Update frequency | 6 am per day |
Impact of new fuel rates
After this cut, the price of petrol in Delhi will be Rs 92.77 per liter and the price of diesel will be Rs 86.17 per liter. Petrol in Mumbai will be sold at Rs 101.50 per liter and diesel at Rs 88.53 per liter. Petrol will be available in Kolkata at Rs 103.01 per liter and diesel at Rs 90.32 per liter. Petrol in Chennai will be priced at Rs 98.80 per liter and diesel will be priced at Rs 90.89 per liter.
This cut has brought a sigh of relief for the common man. This will not only benefit the drivers, but also expect some curb on inflation. The reduction in fuel prices in the transport sector will reduce the cost of freight, which can directly affect the prices of everyday goods.
History of fluctuations in petrol and diesel prices
In the last few years, the prices of petrol and diesel have seen a lot of ups and downs. The last time petrol and diesel prices were amended on 14 March 2024. At that time, oil companies cut the price of petrol and diesel by Rs 2-2 per liter. Since then there was no change in prices for about 10 months.
After this long gap, the price has now been cut again, which is a welcome step. However, it is important to note that oil prices are affected by international market activities and continue to fluctuate.
Reason behind Fuel Price Cut
There are many reasons behind the price cut this time:
- Crude oil prices fall in the international market: Globally petrol prices have come down from $ 77.5 to $ 76 per barrel, while diesel prices have come down to $ 2.5 to $ 84 per barrel.
- Rupee strengthening: Improvement in the price of rupee against the dollar has reduced import costs.
- Relief from the government: The government has cut tax to control inflation.
- Profit cut by oil companies: Public sector oil companies have made this relief possible by cutting their profits.
Effect of new petrol-diasel rates
- Transportation cost reduction: Reduction in fuel prices will reduce the cost of operating vehicles.
- Close on inflation: The prices of goods are also expected to decrease due to low transportation costs.
- Relief to the common man: Everyday expenses will decrease.
- Promotion of trade and industry: The cost of production and distribution will be reduced by low fuel costs.
- Benefits Tourism Sector: Cheap fuel will make the journey more economical.
New fuel rates in major cities
According to the new rates, the prices of petrol and diesel in major cities will be as follows:
- Delhi: Petrol – Rs 92.77/liter, diesel – Rs 86.17/liter
- Mumbai: Petrol – Rs 101.50/liter, diesel – Rs 88.53/liter
- Kolkata: Petrol – Rs 103.01/liter, diesel – Rs 90.32/liter
- Chennai: Petrol – Rs 98.80/liter, diesel – Rs 90.89/liter
- Bengaluru: Petrol – Rs 100.86/Liter, Diesel – Rs 87.44/Liter
- Lucknow: Petrol – Rs 92.65/liter, diesel – Rs 86.26/liter
Fuel price revision process
Determination of petrol and diesel prices in India is a complex process. Government oil companies release new prices every day at 6 am. These prices depend on the price of crude oil, foreign exchange rate, and domestic demand-supply conditions in the international market.
The following factors play an important role in pricing:
- International crude oil prices
- Exchange rate (rupee vs dollars)
- Tax levied by central and state governments
- Dealer commission
- Oil companies margin
Economic impact of Petrol-DIESEL prices
Changes in fuel prices have a massive economic impact:
- Inflation: Inflation is expected to decrease due to reduction in fuel prices.
- Transport Cost: Cheap fuel freight will make freight affordable.
- Consumer expenditure: People’s purchasing power will increase.
- Industry and Trade: Low production cost will increase profitability.
- Fiscal effects: Government’s revenue may be affected.
Measures of fuel conservation
Although the decrease in fuel prices is relieving, fuel protection is important. Some remedies we can adopt:
- Car Pooling: People visiting in the same direction travel together.
- Public Transport: Where possible, use bus or metro.
- Vehicle maintenance: Regular servicing increases fuel efficiency.
- Eco-drawing: Drive at slow and stable speed.
- Avoid unnecessary travel: Where possible, choose the work from home or video conferencing.
Disclaimer: The information given in this article is based on various sources and general estimates. Petrol and diesel prices change from time to time, and it depends on the taxes and other charges of the state and central government. Please check the official sources for accurate and latest information. The purpose of the information given in the article is only to raise awareness.
