Petrol in Delhi will cost Rs 59.63 per litre from as against Rs 59.95 a litre currently. A litre of diesel will cost Rs 44.96 a litre as compared to Rs 44.68 now, according to Indian Oil Corp (IOC).

This is the sixth straight reduction in price of petrol on softening international rates. But in case of diesel, the hike cut short a three-month declining trend.

Fuel rates were last revised on February 1 when petrol price was cut by a marginal 4 paise a litre and diesel by 3 paise a litre after the government raised excise duty to take away most of the benefit arising from fall in international oil prices.

The Government had raised excise duty on petrol by Re 1 per litre and that on diesel by Rs 1.50 to mop up an additional Rs 3,200 crore during the remainder of the current fiscal.

This was the fifth hike in excise duty since November that cumulatively gave the government Rs 17,000 crore in additional revenue. The five levy hikes total to Rs 4.02 per litre on petrol and Rs 6.97 on diesel.

Rates were cut by 95 paise a litre for petrol and Rs 1.91 per litre on diesel in January in two reductions. A similar number of reductions in December led to prices being cut by Rs on petrol and 71 paise on diesel.

State-owned fuel retailers IOC, Bharat Petroleum Corp (BPCL) and Hindustan Petroleum Corp Ltd (HPCL) revise rates of the fuel on 1st and 16th of every month based on average oil price and foreign exchange rate in the preceding fortnight.

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