States can cut petrol prices by Rs 2.65 a litre and diesel prices by Rs 2 litre, a SBI research report has said. This suggestion has come at a time when government-owned oil marketing companies have hiked fuel prices for 15th successive day.
Retail price of petrol on Monday were at Rs 78.27 a litre in Delhi, Rs 86.08 a litre in Mumbai, Rs 80.91 a litre in Kolkata and Rs 81.26 a litre in Chennai. All these prices are the highest so far.
Similarly, diesel was being sold at Rs 69.17 a litre in Delhi, Rs 71.72 a litre in Kolkata, Rs 73.64 a litre in Mumbai and Rs 73.03 a litre in Chennai. Now the good news is that Brent crude prices have slipped from a record high of $80 a barrel (one barrel = 159 litres) and is now hovering in the range of $75-76 a barrel.
The Government has maintained that it is trying to find out a solution for rising fuel prices. A report authored by Dr. Soumya Kanti Ghosh Group, Chief Economic Adviser, SBI, believed that finding a lasting solution to the current increase in oil prices is a delicate balancing act. Read More