New Delhi, Sep 13 (Agencies): Petrol prices in the country have touched their highest levels since 2014, official data has showed. In the last three years, the petrol price hit its highest at Rs 81.75 per litre in Mumbai on 1 August 2014.
Meanwhile, under the daily revision of fuel prices, petrol in Mumbai on Wednesday cost Rs 79.48 a litre, breaching the level it last touched in August 2014.
Similarly, petrol per litre cost Rs 70.38 in Delhi, Rs 73.12 in Kolkata and Rs 72.95 in Chennai while diesel price was Rs 58.72 in Delhi, Rs 61.37 in Kolkata, Rs 62.37 in Mumbai and Rs 61.84 in Chennai.
Petroleum products do not come under the Goods and Services Tax (GST) and prices vary at locations according to state taxes.
The Indian basket, comprising 73 percent sour-grade Dubai and Oman crudes, and the balance in sweet-grade Brent, closed trade on the weekend on Friday at $53.63 per barrel, according to the Petroleum Ministry.
The oil basket had gained over a dollar at the start of last week on Monday to close at $51.34 for a barrel of 159 litres.
Meanwhile, Oil and Petroleum Minister Dharmendra Pradhan today held a high-level meeting with top ministry officials and representatives of oil marketing companies in New Delhi.
After the meeting, Pradhan addressed the media and said the daily price revision mechanism was the best formula to ensure retail prices of petrol and diesel were reflective of the crude oil prices in the international market.
"Fortnightly pricing was pinching consumers. We made it daily so you don't have to wait for 15 days to enjoy the benefits, if the international crude prices fall," he said.
He further said Hurricane Harvey and Irma in recent days had impacted fuel prices because 13 per cent refinery deficits had pushed the prices up.
"Due to Harvey and Irma, petrol prices went up by 18 per cent and diesel by 20 per cent. Today, for instance, prices are stable. Estimates suggest that prices will ease out in the coming days," Pradhan said.
"The government cannot change fuel pricing on a knee-jerk basis," Pradhan told reporters.
"The government will not interfere in the day-to-day functioning of the OMCs... for the last three years, the pricing mechanism has been linked to the market," he said.
Earlier this month, Dharmendra Pradhan said the dynamic pricing regime would continue despite petrol prices going up by over Rs 7 per litre since the scheme was introduced pan-India from mid-June.
He said dynamic pricing ensures that the benefit of even the smallest change in international oil prices can be passed down the line to the dealers and the end-users.
"Daily revision in prices is good. When we started daily revisions on June 16, rates dropped in the first fortnight. Thereafter, it has increased mainly because of rise in global oil prices," he said.
Daily revision allows any fall in international oil rates to be passed on to consumers immediately rather than having to wait for 15 days as in the old system, he added.
"Should prices be hiked by Rs 2.50 or Rs 3 per litre in one go or they should be spaced out in small doses," he asked.
Earlier, the state-run oil marketing companies used to review and revise retail fuel prices every fortnight on the basis of global crude oil prices, while the revision took effect from midnight.
Dynamic fuel pricing is followed in many developed countries and India opted for it as a response to the recent volatility in global crude oil prices.
The basket of crude oils of the 13-nation Organisation of Petroleum Exporting Countries (OPEC) breached the psychologically-important $50-a-barrel-mark also last week, to close at $50.36 a barrel on September 4. As per latest data, the OPEC basket closed on Friday at $52.53.
Last month, two of OPECs biggest members -- Saudi Arabia and Iraq -- expressed their commitment to abide by an agreement to cut oil production that was signed earlier between OPEC and 10 other nations.