Diesel prices surge by nearly Rs 4 in Nagaland following tax hike

July 2, 2024 5 Views No Comment

Marginal increase in petrol by 0.44 paise

Morung Express News
Dimapur | July 2

With the revised tax rates for diesel, petrol, and other motor spirits taking effect from midnight of June 30, the price of diesel in Nagaland has increased by nearly four rupees from July 1.

In the commercial capital, Dimapur, the retail price of a litre of normal diesel increased from Rs 84.64 on Sunday to Rs 87.95 on Monday, representing a steep Rs 3.31 increase per litre, according to IndianOil ONE, the official mobile application of the State-owned Indian Oil Corporation Ltd for fuel matters.

The price of ‘Extra Green’ diesel also increased from Rs 88.43 to Rs 91.61 per litre in Dimapur.

However, there is good news for petrol users as the rise in price was comparatively much lower. In Dimapur, a litre of petrol rose from Rs 96.17 to Rs 96.60, indicating a change of just 0.43 paise.

Meanwhile, in the State capital Kohima, the price of a litre of diesel rose from Rs 85.55 to Rs 88.81, an increase of Rs 3.26. A litre of petrol was retailing at Rs 97.70 on July 1, up from Rs 97.34 on June 30.

On June 28, the Nagaland Government announced an increase in the tax rate on diesel from 16.5% or Rs 10.51 per litre to 17.20% or Rs 12.83 per litre, while petrol and other motor spirits have been revised from 25% or Rs 16.04 per litre to 21.75% or Rs 16.94 per litre (whichever is higher).

In Tuensang, where fuel is costliest in Nagaland, diesel was retailing at Rs 90.87 per litre on Monday, up from Rs 87.90 the previous day. However, the petrol price marginally decreased by 0.10 paise, from Rs 99.93 to Rs 99.83 per litre during the same period.

It must be noted that while retail prices of fuel are fixed by oil marketing companies (OMCs) based on a 15-day rolling average price of petrol and diesel in the international market, several other factors including central and state taxes, cess, dealer’s commission, and freight charges determine the final retail prices.

Accordingly, prices differ across states or regions depending on local factors.After nearly two years since April 6, 2022, OMCs revised petrol and diesel prices on March 15 by cutting the prices to Rs 2 per litre each, in the run-up to the 18th Lok Sabha Elections.