As per media reports, the rates announced by TDP supremo and Andhra Pradesh Chief Minister N Chandrababu Naidu will come into effect from Tuesday morning.
The move comes a day after the Rajasthan government announced a reduction in VAT on fuel prices by 4 per cent. Currently, the cost of petrol in Delhi reached to Rs 80.73 per litre, increased by Rs 0.23/litre than that from yesterday. While the diesel is now available at Rs 72.83 per litre in the national capital which is Rs 0.22 more than it cost per litre on Sunday.
Meanwhile, in Mumbai, the petrol has been increased by Rs 0.23 per litre. It is being sold at Rs 88.12 per litre today. Besides, diesel price in Mumbai has also gone up by Rs 0.23 per litre. The cost of Diesel in Mumbai today is Rs 77.32 per litre.
Fuel prices across the country have been on a continuous rise. In protest of this, Opposition party Congress has called for a nationwide shutdown (Bharat bandh) which is reportedly supported by 21 opposition parties.
The party has demanded that petrol and diesel be brought under the ambit of the GST. It has also appealed party workers to maintain peace and not to associate with any violent protests. However at many places, imcluding Bihar, Madhya Pradesh and Maharashtra protesters resorted to vandalism and arson.
The spike in prices has renewed calls for cut in excise duty but Finance Minister Arun Jaitley has remained non-committal, saying international oil prices are volatile and have not shown any linear movement.
The Centre currently levies a total excise duty of Rs 19.48 per litre of petrol and Rs 15.33 per litre on diesel. On top of this, states levy Value Added Tax (VAT) -- the lowest being in Andaman and Nicobar Islands where 6 per cent sales tax is charged on both the fuels.
Mumbai has the highest VAT of 39.12 per cent on petrol, while Telangana levies the highest VAT of 26 per cent on diesel. Delhi charges a VAT of 27 per cent on petrol and 17.24 per cent on diesel.
The Central government had raised excise duty on petrol by Rs 11.77 a litre and that on diesel by 13.47 a litre in nine installments between November 2014 and January 2016 to shore up finances as global oil prices fell, but then cut the tax just once in October last year by Rs 2 a litre.