With this, Kerala becomes the first state to announce a cut in fuel prices.
Mumbai: In a big respite for the people of Kerala, the state government has decided to reduce the prices of petrol and diesel by Re 1 in the state. The order will come into effect from Friday (June 1), news agency ANI reported quoting Kerala Chief Minister Pinarayi Vijayan.
Petrol and diesel prices are witnessing an all-time high, rising every day for the last 15 days.
Though, both petrol and diesel prices were marginally cut by 1 paisa per litre today.
In all, petrol price was increased by Rs 3.8 per litre and diesel by Rs 3.38 since May 14.
Petrol and diesel prices in India are linked to Singapore gasoline prices GL95-SIN and Arab Gulf diesel prices GO-AG, which mostly track movements in crude oil prices LCOc1.
The reason behind the increase in petrol prices in the country is the rise in the crude oil cost and high excise duty levied on the particular fuel type.