Petrol Price Today in Vijayawada

Why petrol costs different amounts in different cities

The base price is the same across the country — it is set by the oil marketing companies from the crude price and the refining margin. What differs is tax. Central excise is uniform; state VAT is not, and it ranges widely. Add the dealer commission and the freight to get the pump price, and two cities a few hundred kilometres apart can differ by several rupees a litre.

What you are actually paying for

On a typical litre, the base price and freight account for roughly a third. Central excise duty and state VAT together account for close to half. Dealer commission is a small fixed amount. This is why a fall in crude takes so long to show up at the pump — the tax component does not fall with it.

Daily revision

Since June 2017 prices have been revised every morning at 6am rather than fortnightly. The change is usually a few paise, which is why a week-on-week comparison tells you more than a day-on-day one.

Spending less on fuel

Tyre pressure checked weekly, a service kept to schedule, and steady speeds in the 50–70 km/h band do more for mileage than any additive sold at the counter. Air conditioning at low speed is expensive; at highway speed, open windows cost more than the AC does.

Frequently asked questions