Petrol and diesel prices were hiked by 60 paisa per litre each for the second consecutive day on Monday, as state-owned oil firms reverted to daily price revisions after a 83-day pause. This rise in prises of the two fuels comes as after major relaxations in Coronavirus lockdown in India and opening of the economy has increased its demand amid recovery of crude oil rates in the global markets.

Petrol price in Delhi was hiked to Rs 72.46 per litre from Rs 71.86 on Sunday, while diesel rates were increased to Rs 70.59 a litre from Rs 69.99, according to a price notification of state oil marketing companies.

While in Mumbai the price of Petrol currently is at Rs 79.49 per litre and diesel is at Rs 69.37 per litre. Chennai is selling petrol at Rs 76.60 per litre while the current price of diesel is Rs 69.25 per litre. And in Bengaluru  petrol is priced at Rs 74.79 per litre and diesel can be bought at Rs 67.11 per litre.

Oil companies had on Sunday raised prices by 60 paisa per litre on both petrol and diesel after ending a 83-day hiatus in daily rate revision making it the  second daily increase in rates in a row.

Fuel price revision has started again which were kept on  hold since March 16 ostensibly on account of extreme volatility in the international oil markets.Although, the oil PSUs have regularly revised ATF and LPG prices.

Auto fuel prices were frozen soon after the government raised excise duty on petrol and diesel by Rs 3 per litre each to mop up gains arising from falling international rates.

The international crude oil prices witnessed a downward trend due to slump in demand. The Brent also fell by $0.86 per barrel and was trading at $50.50 per barrel after coronavirus deaths and cases increased all over the world.

The government on May 6 again raised excise duties by Rs 10 per litre on petrol and Rs 13 per litre on diesel.

Oil companies, instead of passing on the excise hike to consumers, decided to adjust them against the reduction required because of the drop in international oil prices.

They used the same tool and did not pass on the Re 1 per litre hike required for switching over to ultra-clean BS-VI grade fuel from April 1.

The last revision in the, prices of transportation fuel were done under the dynamic pricing policy on March 16 with only a few occurrences of increase in the prices by the state governments resorting to increase in VAT or cess to increase state revenues which got hit hard due to the Coronavirus lockdown.

The retail prices of fuel are dependent on the international crude prices and the rupee-US dollar exchange rate as India imports almost 80 per cent of its crude requirements.

Domestic petrol and diesel prices are reviewed by oil marketing companies on a daily basis. Price revisions are implemented at the fuel stations with effect from 6 a.m.