Petrol and Diesel prices to be revised daily from June 16

New Delhi: Now get ready to witness the daily price change in petrol and diesel.

The practice of revising the daily prices of petrol and diesel that was launched in Pudducherry, Vishakhapatnam, Udaipur, Jamshedpur and Chandigarh on May 1, to align with the international rates and account for currency fluctuations, has been extended for consumers in states across the country.

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This practice will come into effect from June 16.

While, earlier, this price revision was done fortnightly, now it will be on daily basis.

In a meeting on Wednesday last, Oil Minister Dharmendra Pradhan directed top executives to quickly extend new pricing mechanism to the entire country.

After the success of the experiment, Indian Oil Corporation Ltd (IOCL), Hindustan Petroleum Corporation Ltd, and Bharat Petroleum Corporation Ltd have now decided to implement it across the country from June 15.

Presently, the oil marketing companies review and revise retail fuel prices after every fortnight on the basis of global crude oil prices.

An IOCL statement said daily revision in oil prices will make retail prices more reflective of the current market conditions, besides leading to increased transparency in the system.

This, it said, will enable smoother flow of products from refinery/depots to the retailers.

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It said many developed countries are already revising prices of petrol/diesel on a daily basis.

BPCL sources said here that the move will greatly benefit consumers since prices offered by all three OMCs will differ on a daily basis, thus giving them an informed choice, besides infusing competition among the oil firms.

The prices are expected to change every night at midnight, following directives by the Petroleum Ministry, the sources said.

"Each (oil marketing) company will try to keep its retail prices at the lowest possible to attract more consumers. Though the difference will be only about 15/20/30 paise per litre daily, it spells substantial savings in the long run and for bulk customers," the sources said.

The three firms will now establish suitable mechanisms to convey daily prices to prospective consumers through media ads, displays at retail outlets, price-related data/SMSes send from centralised locations, and mobile apps.