Petrol and diesel prices are likely to drop again in Delhi compared to adjoining cities of Uttar Pradesh, The ad valorem tax structure will lead to a bigger reduction in daily prices in the national capital. Petrol in Delhi on Tuesday was priced at Rs 71.72 a litre while it stood at Rs 71.15 in Ghaziabad and Rs 71.28 in Noida. A litre of diesel in the national capital is priced at Rs 66.39 as opposed to Rs 65.31 in Ghaziabad and Rs 65.31 in Ghaziabad and Rs 65.44 in Noida.
While petrol and diesel traditionally have been cheaper in Delhi than most states in the country, due to lower local sales tax or VAT, the October 5 cut in the VAT by BJP-ruled states led to fuel being available at cheaper rates in places such as Ghaziabad and Noida – the UP towns that adjoin the national capital.
However, the difference that had peaked to over Rs 3 per litre in case of petrol and about Rs 2.3 in diesel on October 5, has now come down to just 44-57 paisa in petrol and about Re 1 in diesel, an analysis of the daily price revision notification issued by state-owned oil firms showed. Read More