Diesel prices on Saturday shot up to record levels with 61 paise per litre while petrol jumped 51 paise in the national capital. This latest jump has taken the cumulative increase in rates in two weeks to Rs 8.28 and Rs 7.62 respectively.
Diesel prices in Delhi now cost Rs 78.88 per litre from previous rates of Rs 78.37. Diesel, on the other hand, was at Rs 77.67 a litre from earlier Rs 77.06, Indian Oil data showed.
In other metropolitan cities, like Kolkata and Mumbai petrol prices were at Rs 80.62, Rs 82.27 respectively.
Speaking of diesel prices, it was at Rs 73.07 in Kolkata and Rs 76.11 in Mumbai, as per Indian oil website.
Rates have been increased across the country and vary from state to state depending on the incidence of local sales tax or VAT.
This latest hike in fuel prices marks 14th daily increase since June 7, the day when oil companies restarted revising prices in line with costs after ending an 82-day hiatus in rate revision.
This latest revision has not only taken diesel price to new highs but has also taken petrol rate at a two-year high too.
Prior to the current rally, diesel rate had touched a peak of Rs 75.69 per litre mark in Delhi on October 16, 2018. The highest-ever petrol price was on October 4, 2018, when rates soared to Rs 84 a litre in Delhi.
When rates had peaked in October 2018, the government had cut excise duty on petrol and diesel by Rs 1.50 per litre each. State-owned oil companies were asked to absorb another Re 1 a litre to help cut retail rates by Rs 2.50 a litre.
Oil companies had quickly recouped the Re 1 and the government in July 2019 raised excise duty by Rs 2 a litre.
The 82-day freeze in rates this year was imposed in mid-March soon after the government hiked excise duty on petrol and diesel to shore up additional finances.
The government on March 14 hiked excise duty on petrol and diesel by Rs 3 per litre each and then again on May 5 by a record Rs 10 per litre in case of petrol and Rs 13 on diesel. The two hikes gave the government Rs 2 lakh crore in additional tax revenues.
International oil prices have since rebounded and oil firms are now adjusting retail rates in line with them.
In 14 hikes, petrol price has gone up by Rs 7.62 per litre and diesel by Rs 8.28 a litre.