Diesel Price In Aurangabad Today

The diesel price produced a growing trend for the entire month of January 2018. The price is changing every day because of dynamic fuel pricing that was adopted in India in the second quarter of June 2017. Diesel prices in Aurangabad fell in the first quarter of dynamic fuel pricing. After that, they consistently moved in an upward direction.

Here is just a brief analysis of historical fuel prices in Aurangabad between April 2017 and January 2018. For April 2017, the price of diesel was Rs.59.87 a litre, which increased to Rs.61.67 a litre on 1 May 2017. On 1 June 2017, the fuel traded at Rs.60.24 a litre. On 1 July 2017, it fell to Rs.57.44 a litre.

The fuel price further accelerated to Rs.59.87 a litre on 1 August 2017. When the diesel price in Aurangabad revised on 1 August 2017, it stood at Rs.59.87 a litre. It was sold at Rs.61.47 a litre on 1 September 2017. Further, the fuel price increased to Rs.63.32 per litre on 1 October 2017. The rate of the fuel was Rs.62.10 a litre on 1 November 2017 and was Rs.62.78 a litre on 1 December 2017.

Why are Diesel Prices fluctuating every day?

Diesel trades at different prices today owing to dynamic fuel pricing system. The system is used to revise fuel prices in Aurangabad by considering the conversion rate of the INR against the USD and crude oil rates. All diesel bunks presently in Aurangabad d use the same methodology. Moreover, a few developed countries also follow the same system currently.

Key features of Dynamic Fuel Pricing

1. The dynamic fuel pricing system ensures transparency in fuel pricing.
2. The price revision is done everyday at 06:00 A.M.
3. Fuel pricing will be manually done by non-automated diesel bunks.
4. Automated diesel bunks in Aurangabad will revise fuel rates in automatically.
5. Diesel consumers are aligned to global market dynamics.
6. Dynamic fuel pricing is extremely useful for oil marketing companies (OMCs) that can easily handle stock, reduce operational overheads and save time. They can easily manage cash inflows and outflows easily.

How can Fuel consumers trace the latest Diesel Price in Aurangabad?

1. The current diesel price in Aurangabad can be tracked by downloading mobile applications. All the three oil-marketing companies - Indian Oil, Hindustan Petroleum and Bharat Petroleum - have developed the mobile applications to help fuel consumers get the latest price.

1. Diesel consumers can make use of customer care services and SMS alert services offered by these oil marketing companies.

Diesel Price in Aurangabad today - How is that computed?

The following cost elements are added to arrive at the retail selling price of diesel in Aurangabad:

1. Crude oil rates: Crude oil is presently hovering around $70 a barrel as on 31 January 2018. Market experts expect it to increase by 20-30% over the next 24 months. The cost of crude oil accounts for 30% of the retail selling price (RSP) of the fuel.

1. Tax: More than 50% of the RSP is constituted by the central tax and state levies. The local government of Maharashtra taxes diesel at 25.38% as on 4 September 2017. The central tax on diesel reduced by Rs.2 per litre on 3 October 2017.

1. OMC Expenses: The expenses incurred by oil marketing company (OMCs) majorly include operational overheads, freight, duties, refinery transfer price (RTP) and entry fees.

1. Other Overheads: Other expenses include pollution cess and the commission charged by oil marketing companies.

Which are the influencers of the Diesel Price in Aurangabad?

The current diesel price in Aurangabad is impacted by the following domestic and overseas factors:

1. INR/USD exchange rate: The Reserve Bank of India determines the INR/USD exchange rate based on interest rates, the inflation rate and the overall economic performance of the country. The diesel price increases when the USD appreciates against the INR and falls when the INR gains against the USD.

1. Crude oil price: The diesel rate in Aurangabad increases when the cost of crude oil increases and falls when the cost of crude oil decreases. Many factors influence the cost of crude oil, but the major ones are production cuts by oil-producing countries and the global political moves.

1. Taxes: The diesel price is affected by taxes. The central levy on diesel was declined by Rs.2 a litre on 3 October 2017 recently. So, any variations in taxes will directly affect the diesel rate in Aurangabad today. It was proposed to reduce in the Union Budget 2018.

GST vs Diesel Rates in Aurangabad

The current fuel rates in Aurangabad remain unaffected by the GST system, which was introduced in India in July 2017. The highest tax rate set by the GST Council is 28% and the lowest rate is 5%. If diesel is taxed at 28%, the fuel price will fall by a big margin. As a result, the Central Government stands to miss the major source of revenue. Recently, The GST Council has been asked to bring diesel and petrol under the GST ambit. Whether or not to include fuels under the GST purview is left at the discretion of the GST Council.

*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.