Diesel prices were at Rs 69.17 per litre, Rs 71.72 per litre, Rs 73.64 per litre and Rs 73.03 per litre respectively.
The price of petrol was increased by 15 paise per litre on Monday, taking it beyond Rs 86 in Mumbai. Petrol prices were hiked by 15 paise per litre and diesel by 16 paise a litre.
Compared to petrol, the state-owned Oil Companies made a decision to increase diesel prices at a much lower rate on Tuesday.
In Mumbai and Chennai, petrol was sold at Rs 85.78 and Rs 80.95 a litre, respectively, up from Rs 85.65 and Rs 80.80 per litre on Friday. The revised prices are applied at the fuel stations with effect from 6 am every day.
The surge in retail prices, due to rises in the cost of crude, have prompted top producers Saudi Arabia and Russian Federation to consider boosting their output in the second half of the year. On May 15, the price of petrol was increased by 17 paise a litre and that of diesel by 21 paise a litre in Delhi.
He also said that the weakening of the Indian rupee against the United States dollar was causing the fuel price hike. Oil Minister Dharmendra Pradhan had said the previous day that the government was looking at both short-term and long-term solutions to soaring fuel prices. "This is the most plausible scenario under the current circumstances", the report said.
Domestic petrol prices increased for the 14th consecutive day on Sunday, with the key transportation fuel being sold at Rs 78.12 per litre in the national capital.
It also said that one suggestion to further rationalise the petrol and diesel prices is to consider a pricing mechanism where VAT is imposed on base price only by states and not on prices inclusive of the Centre's tax.
State-owned Indian Oil Corp (IOC), Bharat Petroleum Corp Ltd (BPCL) and Hindustan Petroleum Corp Ltd (HPCL) were in April 2002 given freedom to revise rates of petrol and diesel on 1st and 16th of every month based on average rate of benchmark worldwide petroleum product prices and rupee-US dollar rates in the preceding fortnight. Every rupee cut in excise duty on petrol and diesel will result in a revenue loss of Rs 13,000 crore.
This will push up the deficit of Centre, unlike states, it added.
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