Today's Diesel Price in Assam

What is the System Followed to Revise the Diesel Prie in Assam?

A few products shall be sold at the similar price for a longer period. With respect to diesel, fuel companies cannot retain the same price. Prior to 16 June 2018, diesel prices in all cities of Assam used to be steady for a period of 15 days. In other words, there used to be two revisions in a month. Since 16 June 2017, Indian fuel companies have been updating diesel rates under dynamic fuel pricing. What does it mean? Dynamic fuel pricing is defined as a fuel pricing system used to revise fuel rates (diesel and petrol rates) taking into account crude oil rates and the INR/USD exchange rate. Under this system, in lieu of revising fuel prices in Assam once a fortnight, fuel companies (Hindustan Petroleum, Indian Oil and Hindustan Petroleum) shall update each day at 06:00 a.m.

What are the Benefits of Dynamic Fuel Pricing?

In five cities in India, dynamic fuel pricing was tested for 40 days. Later on, it was considered as a common fuel pricing system for the whole country. Dynamic fuel pricing provides significant benefits to fuel brands and customers who are considered to be the prime industry stakeholders. Hindustan Petroleum (HPCL), Bharat Petroleum (BPCL) and Indian Oil (IOCL) are allowed to minimise their working capital, which is the net difference between liquid assets and current liabilities. They can also manage cash receipts and cash disbursements effectively. Dynamic fuel pricing makes diesel customers in Assam pay transparently fixed diesel rates.The system instantly transmits even the smallest variation in crude oil rates and the exchange rate to diesel customers in the state.

What are the Ways to Obtain the Current Diesel Price in Assam?

The latest diesel price in parts of the state can be gotten using any of the following options:

1. Mobile applications such as SmartDrive, Fuel@IOC and My HPCL can be used. SmartDrive is offered by BPCL whereas Fuel@IOC by IOCL. HPCL offers My HPCL.
2. Visit the website of your favorite fuel brand and spot a tab called Pump Locator.
3. Send an SMS request following the prescribed format.

What is the Procedure Followed to Assess the Diesel Rate in Assam?

Diesel is priced by fuel enterprises. Diesel price is the sum of the overall amount of expenditures incurred by fuel companies, taxes, dealer commission, crude oil costs and pollution cess. If crude oil costs, taxes and OMC expenses are Rs.21 a litre, 30 a litre and Rs.10 a litre respectively, the cost of a litre of diesel is Rs.61. Taxes include excise, which is collected by the Central Government; and VAT, which is charged by the State Government of Assam. Until June 2018, excise duty was Rs.15.33 a litre and VAT was 22.71% on a litre in Assam. The NAD Government, which was formed in the year 2014, has revised the central tax (excise duty) many times.

What are the Factors Impacting Diesel Price in Assam?

Diesel price in Assam is impacted by crude oil expenses, excise duty, the exchange rate, Value-added Tax, production cuts in crude oil-exporting nations, seasonal variations, international politics, demand for crude oil, etc. let's understand how these elements can impact the pricing of diesel, a widely used fuel across the globe. Current fuel rates in Assam will increase when the USD falls against the local currency. They will also increase if the Central Government increase excise duty. Similarly, fuel prices in Assam will fall if the USD gains against the domestic currency. The same result is expected when oil marketing countries unveil a production cut.

Does GST Impact The Diesel Price in Assam?

GST, which stands for Goods and Services Tax, has no impact on diesel rate in the state. It is because of the exclusion of diesel from the GST rule. As we all know, GST was enforced in the year 2017 to subsume various types of indirect levies. The revenues collected by imposing taxes on diesel and petrol make a big difference to the financial health of India. If the government decides to collect GST on petrol and diesel at 28%, diesel price in Assam and other states will dampen by a huge margin. Eventually, it falls short of revenues.

*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.