Petrol selling at Rs 86.56 a litre in Mumbai, govt says price rise temporary

The price of petrol rose further on Monday. The fuel was selling at Rs 79.15 a litre in Delhi and Rs 86.56 a litre in Mumbai.

With an increase of 0.39 per litre, the price of diesel meanwhile rose to Rs 71.15 a litre in Delhi and Rs 75.54 a litre in Mumbai.

Fuel prices have been on the rise since August 16 after the rupee dipped to its lowest value against the US dollar.

Petrol and diesel prices had gone up by almost a rupee a litre within a fortnight.

Union Petroleum and Natural Gas Minister Dharmendra Pradhan blamed the "external factors" for the rise in domestic prices of petrol and diesel on Sunday.

Pradhan said that the factors responsible for the drop in production of crude oil have resulted in the rise of fuel prices in the country.

"I would like to mention two points, and both these subjects are external. OPEC (Organisation of the Petroleum Exporting Countries) had promised that it will raise production by one million barrels per day, which was not raised. Apart from that, crises in countries like Venezuela and Iran are increasing. There is a pressure on oil prices due to a decrease in production. Secondly, global currencies have weakened against the US dollar," he said.

He also said that the increase in the prices was temporary.

(With inputs from agencies)