Petrol and diesel prices were hiked for the 17th straight session on Tuesday by 20 paise per litre and diesel by 55 paise as the oil companies increased prices that took the cumailative increase to a steep Rs 8.5 and Rs 10.1 per litre respectively.
In Bengaluru, petrol will be costlier by 20 paise per litre at Rs 82.35 per litre, while diesel will cost 53 paise more per litre at Rs 75.51 per litre.
Rates have been increased across the country and vary from state to state depending on the incidence of local sales tax or value added tax.
The government on March 14 hiked excise duty on petrol and diesel by Rs 3 per litre each and then again on May 5 by a record Rs 10 per litre in case of petrol and Rs 13 on diesel. The two hikes gave the government Rs 2 lakh crore in additional tax revenues.
Oil PSUs Indian Oil Corp (IOC), Bharat Petroleum Corp Ltd (BPCL) and Hindustan Petroleum Corp Ltd (HPCL), instead of passing on the excise duty hikes to customers, adjusted them against the fall in the retail rates that was warranted because of a decline in international oil prices to two-decade lows.
The 17th daily increase in rates, since oil companies on June 7 restarted revising prices in line with costs after ending an 82-day hiatus in rate revision, has taken diesel prices to fresh highs. Petrol price too is at a two-year high.
(With PTI inputs)