The Official Fuel Prices Thread

[MutantX]

OMG! it is already expensive at 55.95 rs. If it goes up by another rs.1! damn! petrol is getting dearer! I just wish the crude prices drop to 40 - 45$ PB

[gomzi]

Originally Posted by mwzd

Mumbai is already the highest price for petrol I think.

Weird.

Not true. Thane has usually been more expensive than Mumbai, currently petrol and diesel are ~Rs. 1.5 more expensive in Thane compared to Mumbai.

BTW, the Oil PSU's had announced a few weeks ago that they would collectively set the fuel prices through consensus every 15 days so that they sell at similar prices.

Is this beneficial for us? What do you guys think about this?

[ada]

@gomzi, this is nothing but cartelization, how can they talk about free market and arriving at prices by consensus in the same breath, this is bad news. Even after the initial prices there have been no revision in prices, on the higher or lower side, which is again bad news.

[vnabhi]

Originally Posted by mwzd

There was some news of another price rise of Rs.1 / L from monday.

Mumbai is already the highest price for petrol I think.

Weird.

Nope, we pay Rs 57.50 for a litre of ordinary petrol a Hyderabad !

[kannan666]

Originally Posted by vnabhi

Nope, we pay Rs 57.50 for a litre of ordinary petrol a Hyderabad !

And we Bangaloreans pay Rs.58.09 for ordinary petrol !

[gomzi]

Originally Posted by ada

@gomzi, this is nothing but cartelization, how can they talk about free market and arriving at prices by consensus in the same breath, this is bad news. Even after the initial prices there have been no revision in prices, on the higher or lower side, which is again bad news.

yes, even my first thought when I read that was CARTEL!
Unfortunately, I do not think aam junta will have a choice in that decision and as always will have to like it or lump it.

Again I wonder when the price revisions will happen.

[cuboid]

Originally Posted by gomzi

yes, even my first thought when I read that was CARTEL!
Unfortunately, I do not think aam junta will have a choice in that decision and as always will have to like it or lump it.

Again I wonder when the price revisions will happen.

There is news of revision coming by month-end. That would ~Rs 1 per litre petrol.
Oil PSUs may up petrol prices August-end - Money - DNA

On the cartel front, wonder whether private players (shell, reliance, essar) are part of it. How can they be, they need to do things differently to win customers, right?

[gomzi]

There is news of revision coming by month-end. That would ~Rs 1 per litre petrol.
Oil PSUs may up petrol prices August-end - Money - DNA

A sign of times to come? I'll bet the prices keep rising steadily with momentary falls to placate us. I guess now there's a need for a thread tracking global oil prices and what we pay for it, or track it in this thread itself.

Originally Posted by cuboid

On the cartel front, wonder whether private players (shell, reliance, essar) are part of it. How can they be, they need to do things differently to win customers, right?

Petrol is a homogeneous commodity irrespective of who sells it. It will be very difficult for private players to get differentiated without affecting profitability.

The cartel is the PSU's ganging up together to set fuel prices for their outlets collectively.

We the consumers could be worse off due to 2 factors:-
1) From the way I see it, the most inefficient company from this cartel will determine the price. e.g. if Co. A and Co. B can transport their fuel to Mumbai for Rs. X and Co. C for Rs. X+2, then the consensus price will be something Co. C's cost will drive. So we would get fuel at Rs. X+2+Profit% at all outlets whereas we could have got it from the other 2 companies for Rs. X+Profit% if there was no cartel

2) The PSU's collectively have a stranglehold on fuel distribution in India. They can theoretically gain HUGE advantages through mutual collaboration. All this clout can make market entry even more unattractive for private distributors.

What do you guys think?


Note: I dont have a stake in any oil company PSU or Pvt. I'm just a concerned aam aadmi trying to look at developments and what they can mean for me and my passion of cars and driving them.

[rajhiremath]

Originally Posted by gomzi

A sign of times to come? I'll bet the prices keep rising steadily with momentary falls to placate us. I guess now there's a need for a thread tracking global oil prices and what we pay for it, or track it in this thread itself.



Petrol is a homogeneous commodity irrespective of who sells it. It will be very difficult for private players to get differentiated without affecting profitability.

The cartel is the PSU's ganging up together to set fuel prices for their outlets collectively.

We the consumers could be worse off due to 2 factors:-
1) From the way I see it, the most inefficient company from this cartel will determine the price. e.g. if Co. A and Co. B can transport their fuel to Mumbai for Rs. X and Co. C for Rs. X+2, then the consensus price will be something Co. C's cost will drive. So we would get fuel at Rs. X+2+Profit% at all outlets whereas we could have got it from the other 2 companies for Rs. X+Profit% if there was no cartel

2) The PSU's collectively have a stranglehold on fuel distribution in India. They can theoretically gain HUGE advantages through mutual collaboration. All this clout can make market entry even more unattractive for private distributors.

What do you guys think?


Note: I dont have a stake in any oil company PSU or Pvt. I'm just a concerned aam aadmi trying to look at developments and what they can mean for me and my passion of cars and driving them.

No actually the transportation costs are same. For eg if there is a BP refinery in Mumbai and a HP refinery in say Chennai, all BP outlets in Chennai do not transport their refined fuel from Mumbai to Chennai and vice versa. Actually all PSU outlets get their refined fuel from the nearest refinery no matter who owns that refinery.
So next time when you buy premium fuels from IOC or BP or HP, keep in mind, they could be coming from the same refinery.
Then why are the PSUs spending big money on advertising their fuels using stars? Money Laundering PSU style!! Anyway we are paying for that money right.

[mjothi]

“Petrol price may go up by 50 paise if oil PSUs take a 15-day average of international prices and up to 70 paise if a one month average is taken,” an oil ministry official said. “The new rates will be announced only after August 31 after the Parliament session ends,” he said, requesting anonymity.

Source :
Oil companies set to hike petrol prices by up to 70 paise per litre - Commodities - Markets - The Economic Times

[amohit]

It seems IOC has hiked the petrol price by 27p.

Source : Article Window

[lohithrao]

I guess we all need to be ready for "HIKES" dont worry not salary

Fuel goes up and along with almost all the commodity/services cost goes up! minimum fare for auto as of today is 15bucks...

[myavu]

@ lohithrao Here in Delhi minimum Auto Fare is Rs19 and still they charge around 20% more

[lurker]

A very small column insert in the local newspaper. Petrol price increased by a further 37 paise.

This is being going on since the decontrol, every 2 weeks prices get increased by sometimes 67 paise sometimes 37 paise and it goes below the radar.

If this is the trend, i fully expect petrol to touch 100 bucks sooner than later. What is going on ?

[amohit]

any idea what is the latest fuel price now in bangalore?