Ever since the new government has taken over there has been a massive change in everyday activity. The major change that everybody is witnessing is the constant price slash of petrol and other essential fuels.
The price slash though is not due to the government but because of international crude oil prices that are falling regularly. Now the fuel prices are to be slashed for the ninth consecutive time in a row in India. It is unclear by how much will the fuel prices get cheaper post the revision.
The fuel prices were supposed to be slashed at the beginning of 2015. Government of India although increased the excise duty on petrol as well as diesel by two rupees. The oil companies, however, instead of increasing the prices accommodated the difference and did not interfere with retail fuel prices.
Government of India has deregulated both petrol and diesel prices. Oil companies though revise the pricing of fuel in India to match international pricing every fortnight. They regularly pass on the benefit to consumers, as and when crude oil prices fall.
This will be ninth time that oil companies will reduce the price of fuel in India. It will be the lowest in over six years and consumers will accept it with open arms. International crude oil prices are at an all time low and analysts believe it is expected to fall further.
The last reduction in fuel prices happened in December, 2014. Both petrol and diesel prices were reduced by two rupees. Oil companies have not revealed so far how much they will slash fuel prices.