On Karnataka results day, government hikes petrol, diesel prices again

The petrol and diesel prices continue to increase for the second consecutive day on Tuesday by 15 paise a litre and diesel by 23 paise a litre. 

That marked a second increase in petrol and diesel rates this month. On May 14, the prices were raised after a 19-day hiatus, a day before Karnataka election results.

With the increased prices on Tuesday, petrol price in Delhi is at a fresh 56-month peak and the price of diesel has registered a new all-time high. 

As on 6:00 am on May 15, petrol retailed at Rs. 74.95 per litre in Delhi, Rs. 77.65 per litre in Kolkata, Rs. 82.79 per litre in Mumbai and Rs. 77.77 per litre in Chennai, according to Indian Oil Corporation. Diesel prices were at Rs. 66.36 per litre, Rs. 68.9 per litre, Rs. 70.66 per litre and Rs. 70.02 per litre respectively. 

After a 19-day pre-Karnataka poll hiatus, petrol price was today hiked by 17 paise a litre and diesel by 21 paise as PSU oil firms began passing on the spike witnessed in international rates to consumers.

Petrol price in Delhi was hiked to Rs 74.80 per litre from Rs 74.63 while diesel rates were increased to Rs 66.14 a litre from Rs 65.93, according to a price notification issued by state-owned oil marketing companies.

Oil PSUs, who had kept rates unchanged for nearly three weeks before Karnataka went to polls despite input cost spiking, reverted to daily revision in prices no sooner had the state voted to elect a new government on Saturday.

State-owned oil marketing companies are estimated to have lost about Rs 500 crore as they absorbed higher cost resulting from the spike in international oil rates and fall in rupee against the US dollar.