New Delhi, July 31: The government on Friday cut the petrol prices by Rs 2.43 per litre and diesel by Rs 3.60 per litre.
This is the third reduction in rates this month, with effect from midnight tonight. Petrol in Delhi will cost Rs 64.47 per litre from tomorrow instead of Rs 66.90 at present, while a litre of diesel will cost Rs 46.12 as against Rs 49.72 currently, Indian Oil Corp (IOC) said in a statement.
The prices were cut in June in line with fall in international oil rates and rupee appreciation. The cut in petrol prices came on back of three successive increases since May, while this is the second reduction in diesel rates this month.
Before this, the government hiked petrol prices by 64 paise per litre and cut diesel prices by Rs 1.35 litre on June 15.
"Prices of petrol and diesel were last revised on July 16, 2015. Since last price change, there has been a decrease in international prices of both petrol and diesel. INR-USD exchange rate has, however, depreciated during this period.
"Combined impact of both these factors warrants a downward revision in prices, the impact of which is being passed on to the consumers with this price decrease," the statement said.
State-owned fuel retailers -- IOC, Bharat Petroleum Corp (BPCL) and Hindustan Petroleum Corp (HPCL) -- revise petrol and diesel prices on 1st and 16th of every month based on average imported cost and rupee-dollar exchange rate in the previous fortnight.
"The movement of prices in international oil market and Rupee-USD exchange rate shall continue to be monitored closely and developing trends of the market will be reflected in future price changes," the statement added.
(With inputs from agencies)