From Friday onwards, the retail prices of petrol and diesel will be revised daily. The prices of petrol and diesel have already been slashed by Rs 1.12 and Rs 1.24 respectively, which affects from 6 a.m.
Earlier this month, the oil marketing companies decided to make the daily revision. It is intended to make the retail prices more reflective of the current market conditions and minimising the volatility in the retail price of both the petroleum products.
It also intended to enhance transparency in the system, besides enabling smoother flow of products from refinery to retail outlets.
The decision to revise the prices on a daily basis was taken by the Indian Oil Corporation, the Hindustan Petroleum Corporation and the Bharat Petroleum Corporation after successful implementation on pilot basis in Udaipur, Jamshedpur, Puducherry, Chandigarh and Vishakhapatnam.
The public sector oil marketing companies are also taking steps to establish an appropriate mechanism for conveying the prices to consumers every day, including daily publishing of the prices in newspaper, prominent display of prices at the retail outlets and sending of price-related SMS.Many developed countries are already revising the prices of petrol and diesel on a daily basis.