Prices of petrol and diesel touched a record high of Rs 85.45 a litre and Rs 75.63 a litre, respectively, in Delhi on January 22.
Oil marketing companies raised the prices of both petrol and diesel by 25 paise on the day, with the prices hitting an all-time high. In Mumbai too, fuel rates increased to a new record high of Rs 92.04 a litre on petrol and Rs 82.40 a litre on diesel.
The hike in prices is mainly owing to a higher share of excise duty. It was on October 4, 2018, that diesel touched its previous high of Rs 75.45 a litre when crude oil prices had touched around $ 80 a barrel. On January 22, Brent crude prices were seen at $55.37 a barrel.
The rise in prices is mainly owing to a higher share of government taxes. According to sources close to the development, the government is in talks to cut excise duty and the ministry of petroleum and natural gas has already suggested the finance ministry to consider the same.