New Delhi, Apr 1 (ANI): External Affairs Minister Salman Khurshid on Monday said that the increase or decrease in the price of petrol depends on the market conditions.
"The petrol prices are now allowed to change according to the market prices, sometimes they go up and sometimes they come down. I think both sides must be appreciated. The cost of petrol in the world is something we all have to bear, but at the same time when the cost comes down because of market forces, I think the consumer should get the advantage," said Khurshid, when asked that the price of petrol has been cut by 85 paise per litre with effect from tomorrow.
" This is the way the new policy will become more acceptable to everyone and I think that is how we should see it," he added.
This cut in the price of petrol is the second reduction in rates in two weeks.
The price cut, which was made possible because of fall in international oil prices, is excluding local sales tax or VAT.
After including VAT, the reduction in price of petrol in Delhi comes to Rs 1.02 per litre and the fuel will cost Rs 67.29 per litre from midnight tonight against Rs 68.34 per litre.
The price cut comes on back of the Rs 2 a litre reduction in rates affected on March 16. This was the steepest cut in rates in nine months, which after including VAT resulted in a reduction of Rs 2.40 a litre in rates.
Petrol in Mumbai will cost Rs 1.07 less at Rs 74.14 per litre. In Kolkata, the price has been cut by an equal measure to Rs 74.72. It will cost Rs 70.34 a litre in Chennai from tomorrow against Rs 71.42 currently. (ANI)