In line with the falling global prices, petrol may be made cheaper by around Rs 2 a litre later this week, creating political legroom for a diesel price revision. This will be the second price cut in the month after the Rs 7.54 increase last month triggered strong political opposition. On June 2, petrol was brought down by Rs 2.02 to Rs 71.16 a litre in the capital.
Oil marketing companies review petrol prices, vis-a-vis the average international price, on a fortnightly basis. “When the price was cut on June 2, the average international price was $115.81 per barrel, against $124.42 in the fortnight when the price was increased by Rs 6.28 excluding taxes.