Fuel prices have not been revised by state-run oil marketing companies (OMCs) on Monday even as global crude oil prices fell marginally. Petrol and diesel prices have remained static for over two weeks.

Global crude oil prices decreased after a rise in the US dollar and rising rig output. While crude oil prices remain weak, it is not enough for a reduction in domestic fuel prices. Petrol and diesel prices are unlikely to fall if crude oil rates do not come down substantially.

Petrol is retailing at Rs 101.19 per litre in Delhi and over Rs 107 per litre in Mumbai. It costs Rs 101.62 per litre in Kolkata and Rs 98.96 per litre in Chennai. At the moment, petrol costs over Rs 100 per litre in several Indian cities.

Diesel prices also remain elevated across the country. It costs Rs 88.62 per litre in the national capital and over Rs 96 per litre in Mumbai. Diesel is retailing at Rs 91.71 per litre in Kolkata and over Rs 93 per litre in Chennai.

Experts said high fuel price could hamper long-term growth prospects as inflation will fall at a slower pace than expected earlier. Inflation remains on the higher side due to elevated fuel prices.

Higher fuel prices also have a cascading impact on other goods and services — a situation that could dent demand during the upcoming festive season.

Despite the drawbacks of high fuel prices, the government has made it clear that it will not be able to reduce the excise duty charged on petrol and diesel. Even states have denied reducing value-added tax on fuel.

The proposal to include petroleum products under GST has also been rejected at the indirect tax body’s council meeting on Friday. In such a scenario, a substantial decrease in fuel prices is unlikely in the near term.

Petrol and Diesel prices in major Indian cities: