Indian Oil Corporation today announced a cut in petrol prices by INR 2.46 per litre, with effect from midnight June 29th 2012. The cut will vary from INR 2.46 to INR 3.22 per litre in different parts of the country.

This cut comes before the fortnightly meeting of oil marketing companies and is on the back of crude prices falling to USD 90 per barrel levels.

IOC chairman Mr PK Goyal tells CNBC-TV18 that the OMCs have come to this decision as over recoveries on petrol were being passed on to the customers. He said that “What over recovery we had has been passed on to the consumers in line with the international prices.”

This is the second rollback announced by OMCs after the steep hike of INR 7.50 per litre in May. Overall, the rollback is now to the tune of INR 5.46 per litre in Delhi.

Minister of State for petroleum RPN Singh said that crude prices have cooled considerably and hence this cut was implemented. He further adds that this move did not come in earlier because of the rupee-dollar fluctuations.

Source - Moneycontrol.com

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