Central and state governments reduces price of Petrol and diesel by Rs 5 in Gujarat

Petrol and diesel will be cheaper by Rs 5 in Gujarat as the central and the state governments, respectively, on Thursday announced a reduction in prices by Rs 2.50 per litre.

Gujarat Chief Minister Vijay Rupani made the announcement about the reduction of the fuel prices by Rs 2.50 per litre soon after a similar decision taken by the central government.

"Finance Minister Sh @arunjaitley Ji has announced Rs.2.5 cuts in petrol & diesel prices. Reciprocating positively to FMs announcement, the Govt Of Gujarat has also decided to reduce Rs.2.50 on both petrol & diesel.

Thus petrol & diesel wd be Rs. 5 cheaper in the State of Gujarat," Rupani tweeted. Today's petrol price in Ahmedabad was Rs 83.21 per litre while that of diesel, it was 81.02 per litre. Earlier, Union Finance Minister Arun Jaitley announced in Delhi a cut in petrol and diesel prices by Rs 2.50 per litre, factoring in excise duty reduction of Rs 1.50 per litre. He asked state governments to follow suit by cutting a sales tax or VAT by a similar amount.

The reduction followed petrol and diesel prices touching new highs. In Delhi, where the fuel prices are the lowest among all metros and most state capital, petrol is sold at Rs 84 per litre and diesel at Rs 75.45.

Jaitley said the move followed Brent crude oil touching four-year high of USD 86 a barrel Wednesday and interest rates in the US reaching the seven-year high.

(With inputs from agencies.)