Petrol Price In Aligarh Today

Petrol prices in Aligarh are revised on a daily basis and understanding the reasons behind the daily revision in petrol prices gives the basic idea about how petrol prices are computed in Aligarh and in across the country.

Petrol Price Breakup in Aligarh

Indian oil companies import more than 80% of crude or unrefined oil from oil-producing countries, therefore, any change in the global crude oil price affects the petrol price in Aligarh and other cities in the country. Apart from the crude oil price, taxes and other operational costs are included before selling petrol at the Retail Selling Price (RSP) in the market.

Factors Affecting Petrol Prices in Aligarh

Two major factors which affect petrol prices in India are external and internal in nature. While external factors include the global crude oil price and the US dollar exchange rate, internal factors include taxes and other operational costs. Let's analyse each of these factors in detail to understand how petrol prices are impacted and how petrol prices are dynamic in nature.

1. External Factors: India purchases nearly 70% of its crude oil from oil-producing countries and pays them in US dollars. From uneven demand and supply to production cuts and geopolitical tensions, the price of crude oil tends to fluctuate. Any production cuts or increase in demand leads to an increase in the petrol rate in India. Likewise, any increase in production or supply reduces the crude oil rate thereby decreasing the petrol prices in the country. The other factor is the US dollar exchange rate. Since trading of crude oil in the international market happens through US dollars, any appreciation or depreciation of the US dollar impacts the petrol price in Aligarh or other cities in the country.
2. Internal Factors: Taxes form the biggest component in petrol pricing. While the Centre levies excise duty of Rs.19.48 per litre, the state of Uttar Pradesh charges Value Added Tax (VAT) at 28.68% for a litre of petrol. Any change in the tax rate revises the petrol price in a city. Apart from these domestic or internal factors, the dealers or the petrol pump owners levy commision for storing and dispensing fuel to consumers.

Why do Petrol Prices Change Daily in Aligarh?

Until 16 July 2017, petrol prices were revised every fortnight i.e. on the 1st and the 16th of every month. While computing the prices, the average crude oil prices and the dollar value is taken as a basis to fix the price for a litre of petrol. However, this did not let oil companies increase fuel prices when there's an instance of a hike in crude oil prices in the global market thereby incurring losses.

From 16 July 2017, India moved to a new pricing method known as the 'dynamic fuel pricing' mechanism. Petrol prices are revised daily by taking the previous day's crude oil rate and the dollar exchange value to set the RSP of petrol. This helps oil companies avoid any losses due to a sudden increase in the unrefined oil price.

Petrol prices are revised daily at 6 a.m. IST and automated petrol pumps are updated automatically, while it's manually updated at non-automated fuel stations.

Benefits of Dynamic Pricing of Petrol

Under the new dynamic petrol pricing mechanism, prices of petrol and diesel are revised daily on the lines of global crude oil rates. Both the oil companies and consumers stand to benefit from the new pricing method. Below are some of the benefits of dynamic pricing of petrol.

1. Unlikely of a sudden steep hike in petrol prices, only gradual movement.
2. Higher competition from private fuel companies.
3. No loss to oil companies for an entire fortnight in case of a steep increase in global crude oil rates.
4. Any decline in the global crude oil is passed on to consumers the next day itself.

How to Check the Daily Petrol Price in Aligarh?

Since petrol prices are revised on a daily basis, it's quite challenging to know the latest petrol price in a city like Aligarh. Hence, OMCs have developed several innovative methods to check the daily petrol price in Aligarh. Below are the methods to track the current fuel rate.

1. Mobile Apps: OMCs have launched smartphone apps to track the current petrol price in Aligarh. Customers of IOCL can install the 'Fuel@IOC' app, BPCL consumers can take advantage of the 'SmartDrive' app, while HPCL has the 'MY HPCL' mobile app to find today's petrol price in a city.
2. SMS Services: Customers can also use the SMS services offered by these oil companies. Below is the process to send an SMS to check the daily petrol price offered by a particular dealer.
   1. IOCL: Type RSPDealer Code and send the SMS to 9224992249.
   2. BPCL: Type RSPDealer code and send the SMS to 9223112222.
   3. HPCL: Type HPPRICEDealer code and send the SMS to 9222201122.
3. Website: You can also visit OMCs respective website to track the daily fuel rate of a particular city.

GST on Petrol

While all goods and services rendered in India attract the Goods and Service Tax (GST), petroleum products have been kept out of the framework of the new taxation regime. Since the present taxes are higher compared to the highest tax slab of the GST, both the Centre and the State lose out on revenue if fuel comes under the GST. That said, by bringing petrol and diesel under the ambit of the GST, petrol prices will certainly reduce.

*Disclaimer: BankBazaar makes no guarantee or warranty on the accuracy of the data provided on this page, the prevailing prices are susceptible to change and provided on an as-is basis. We accept no liability for any loss arising from the use of the data contained on this website.