Fuel Prices continue to rise in India

TNI Bureau: Following another spike in fuel prices, petrol prices in Mumbai inched towards Rs 100 on Tuesday. According to a price announcement from state-owned fuel merchants, the price of petrol has increased by 23 paise per litre and the price of diesel has climbed by 25 paise per litre. The increase, which is the 13th this month, pushed diesel and petrol prices to all-time highs throughout the country.

In Delhi, the price of petrol has risen to Rs 93.44 a litre, while the price of diesel has risen to Rs 84.32 per litre. In Mumbai, the price of petrol has risen to Rs 99.71 per litre, while the price of diesel has risen to Rs 91.57 per litre. In other locations in Rajasthan, Madhya Pradesh, and Maharashtra, rates had already surpassed the Rs 100 mark, and with the current hike, the price in Mumbai was creeping closer to that level.

The impact of local taxes such as VAT and freight costs on fuel prices varies from state to state. Rajasthan has the country’s highest value-added tax on gasoline, followed by Madhya Pradesh and Maharashtra.

One of the primary causes for the increase in fuel prices is the excise tax charged by the Centre and VAT by the state governments.

If there’s one thing that rising fuel costs are helping, it’s the country’s modest but rapidly developing electric vehicle (EV) industry. The present pace is expected to continue, according to industry officials, since there are no prospects of significant alleviation in retail fuel costs in the foreseeable future.