Petrol Price In Jamshedpur Today

According to economics, the price of a commodity increases when it gains demand. Conversely, the price of a commodity falls when it loses demand. This law is not applicable to the petrol price in Jamshedpur since the petrol price determinants are not domestically governed. The exchange rate and crude oil prices determine how much should be the petrol rate per litre in India, which minutely varies from city to city owing to the variations in the commission charged by dealers and the Value-added Tax (VAT) levied by state governments.

The Revision of Fuel Prices in Jamshedpur

Fuel prices in Jamshedpur are currently revised on a daily basis by all oil marketing companies in India, including Hindustan Petroleum, Indian Oil, Bharat Petroleum and Shell Oil. The daily revision system has been in place since post mid-June 2017. It is technically referred to as dynamic fuel pricing. Other developed countries that follow the system of dynamic fuel pricing include the United States of America, Japan, Russia and Australia.

The system of dynamic fuel pricing requires all the oil marketing companies in India to revise the petrol price in Jamshedpur based on the exchange rate of the INR against the USD and overseas prices of crude oil. These two price determinants tend to fluctuate everyday in global markets. So, any downs and ups are quickly transferred to the buyers of petrol in Jamshedpur under dynamic fuel pricing.

Petrol Price Trend in Jamshedpur in April 2018

Is Dynamic Fuel Pricing advantageous? How is the Petrol Price in Jamshedpur affected by Dynamic Fuel Pricing?

Yes, dynamic fuel pricing is beneficial for both fuel consumers and oil marketing companies. Petrol is priced transparently. This is a key benefit for fuel buyers. The daily price revision system enables oil marketing companies (OMCs) to mechanically fix and revise fuel prices, thereby helping them save money and time. Besides, OMCs ensures operational efficiency through properly managing cash outflows and cash inflows and working capital.

Methods to obtain the Latest Petrol Price in Jamshedpur

Today's Petrol Rate in Jamshedpur can be derived using any one of the following methods:

1. Fuel consumers may send an SMS request to get fuel prices. The SMS service is offered by all the three OMCs. An SMS request can be sent to 9224992249 for obtaining the petrol price offered by Indian Oil, 9223112222 for obtaining the petrol price offered by Bharat Petroleum, and 9222201122 for obtaining the petrol price offered by Hindustan Petroleum.

1. Fuel consumers can visit the website of Indian Oil, which is www.iocl.com, or the website of Bharat Petroleum, which is www.bharatpetroleum.in, or the website of Hindustan Petroleum, which is www.hindustanpetroleum.com to get daily updates on fuel prices in Jamshedpur.
2. Fuel consumers can download the mobile application offered by Indian Oil, which is 'Fuel@IOC', the mobile application offered by Bharat Petroleum, which is 'SmartDrive', and the mobile application offered by Hindustan Petroleum, which is 'My HPCL'.

Petrol Price computation

We arrive at the retail selling price of petrol by adding the following cost factors:

1. Cost of crude oil: Crude oil is a global commodity. The price of crude oil is quoted in the global commodity market. As of 12 February 2018, a barrel of crude oil (159 litres) was retailing at $66-$67. This price is divided by 159 to arrive at the cost price of a litre of unrefined oil in India, which is approximately Rs.26.40.

1. Central and state levies: The retail selling price of petrol includes the excise duty of Rs.19.48 per litre and the VAT of Rs.17.94 per litre as of 12 February 2018.

1. OMC expenses: The retail selling price of petrol consists of the expenses incurred by OMCs. As of 12 February 2018, the expenses incurred by OMCs are envisioned to be Rs.7.98 per litre approximately. The price also includes a dealer's commission of Rs.3.59 litre per.

Factors affecting Petrol Prices in Jamshedpur

Petrol prices in Jamshedpur are affected by the currency conversion rate (INR/USD exchange rate), central and state taxes, and crude oil rates. For instance, when the base currency, the USD, appreciates against the domestic currency, INR, crude oil prices climb. On the other hand, when the base currency depreciates against the INR, then crude oil prices fall. Eventually, fuel rates are affected.

Current Petrol Price in Jamshedpur vs GST

Petrol and its byproducts are currently not taxed under the Goods and Services Tax regime. They have been kept outside the purview of the GST regime to ensure the revenue source for the central and state governments remains unaffected. The GST Council has to rework on the prevailing tax rates to bring petrol and its derivatives under the GST mechanism. But, the GST Council has to take the final decision in consultation with the Central Government and the Finance Ministry.

*Disclaimer: BankBazaar makes no guarantee or warranty on the accuracy of the data provided on this page, the prevailing prices are susceptible to change and provided on an as-is basis. We accept no liability for any loss arising from the use of the data contained on this website.