New Delhi: In last six days, petrol prices have soared by Rs 1.59 a litre and diesel by Rs 1.31 — in the aftermath of the massive drone strike at Saudi Arabian oil facilities. Also Read - US Secretary Mike Pompeo to Visit Saudi Arabia & UAE After Drone Attacks
The petrol price on Sunday was hiked by 27 paise to Rs 73.62 a litre in the Delhi market, the benchmark for national rates. Price of diesel was increased by 18 paise to Rs 66.74 per litre in Delhi. Also Read - Sensex Plummets 600 Points, Nifty Turns Negative Amid Saudi Drone Attacks
This is the sixth straight daily increase and has taken the cumulative price hike since September 17 to Rs 1.59 per litre in case of petrol and Rs 1.31 for diesel, reported PTI. Also Read - 'India Won't Face Any Supply Disruption', Says Pradhan After Drone Attacks on Saudi's Oil Stabilisation Centers
The price of petrol was at Rs. 76.32 per litre in Kolkata, Rs. 79.29 per litre in Mumbai and Rs. 76.52 per litre in Chennai, according to notifications from state-run Indian Oil Corporation (IOC). The rate of diesel was at Rs. 69.15 per litre in Kolkata, Rs. 70.01 per litre in Mumbai and Rs. 70.56 per litre in Chennai.
The price hike in the past week is being seen as the most since daily price revision was introduced in 2017.
This doesn’t come as a surprise as the price of petrol and diesel in India is directly related to its international benchmark rates, which in turn depends on crude oil rates. The crude oil rates saw on of its biggest single-day jump on September 16 after Saudi Arabia drone attack.
Oil prices have cooled since the spike, but are still on the edge.
Saudi Arabia said it can quickly bring supply back online, but according to experts, the shock to the global oil market will be felt for years.
Oil Minister Dharmendra Pradhan on Thursday spoke to Saudi Arabia’s new oil minister Prince Abdulaziz bin Salman to discuss the supply plan. Saudi Arabia, according to Pradhan, has assured India of meeting all its committed oil supplies.
India imports 83 per cent of its oil needs, with Saudi Arabia supplying a fifth of the purchases. Saudi Arabia is its second-biggest supplier after Iraq.