After 16-Day Surge, Petrol and Diesel Prices Are Cut By 1 Paisa a Litre. Yes, 1 Paisa

New Delhi: The reduction in petrol and diesel prices by 60 paise on Wednesday turned out to be a "clerical error" and it was revealed that fuel prices were down by a mere 1 paisa. 

It is learnt that the actual fuel price on the ground is based on the figures the fuel companies communicate to their dealers across the country on a daily basis. This figure on Wednesday was just 1 paisa less than the day before.

State-owned oil companies this morning announced reduction in petrol price by 60 paise to Rs 77.83 a litre and diesel by 56 paise to Rs 68.75 in Delhi. Within hours of the announcement, they revised the cut to just 1 paisa a litre each.

"The reduction was supposed to be 1 paisa but due to a clerical error the price prevalent on May 25 was communicated as today's price," a senior official of Indian Oil Corp (IOC), the nation's largest fuel retailer, explained.

Petrol in Delhi now costs Rs 78.42 per litre and diesel Rs 69.30. The marginal reduction comes after 16 consecutive price increases since May 14 when fuel retailers ended a 19-day pre-Karnataka poll hiatus to pass on a spike in global oil rates.

In all, petrol price was increased by Rs 3.8 per litre and diesel by Rs 3.38 in that fortnight.

Prices vary from state to state depending on local sales tax or VAT. Delhi has the cheapest price among all metros and most state capitals.