Today's Petrol Price in Bihar

Fuel prices, including petrol prices and diesel prices, are revised daily under dynamic fuel pricing method. India had proposed to substitute the earlier fortnightly-based fuel revision system by introducing dynamic fuel pricing on 16 June 2017.

All publicly-held oil marketing companies - Hindustan Petroleum, Bharat Petroleum, Indian Oil and Shell Oil - will be revising fuel rates in Bihar in sync with the currency conversion rate and the buying price of crude oil in global markets.

What are the benefits of Dynamic Fuel Pricing?

The main advantages of using Dynamic Fuel Pricing are mentioned below: 

• Dynamic fuel pricing streamlines the fuel revision system and brings transparency. 

• Petrol prices cannot change by big margins like earlier. 

• It allows fuel entities to maintain their working capital better. 

• Any downs and ups in crude oil rates may be quickly transferred to end customers. 

• The fuel segment in India may be interlinked with the global crude oil market.

How to obtain the Latest Petrol Price in Bihar?

The different ways to get the latest petrol price in Bihar are mentioned below:  

• Mobile apps: It is the simplest and easiest method. All you have to do is to get mobile applications downloaded onto your smartphones. Download the mobile application of your choice.

• SMS requests: All oil marketing companies will provide SMS alert services where^06in a customer has to send an SMS request to obtain the today's petrol price in Bihar.

• Online: Once the fuel price is revised every day at 06:00 a.m., it shall be uploaded to the respective websites of OMCs.

What is the methodology used to assess the Petrol Price in Bihar?

There is no science involved in computing the petrol price in Bihar. It is assessed by adding the following cost elements:

• Cost of Crude Oil: The cost of crude oil or the cost of unrefined oil is referred to as the spot rate of standard unrefined oil. Crude oil has several brands. The most popular include WTI, which stands for West Texas Intermediate, OPEC and Brent Crude Oil. India is importing crude oil at $65-$67 per barrel currently.

• OMC Expenditures: Oil marketing companies play a huge role. They import crude oil from oil-producing countries. The imported crude oil then shifted to refineries, which covert unrefined oil into usable fuel by charging the refinery transfer price. OMCs also incur entry taxes, freight charges, landing expenses and other overheads.

• VAT and Custom Duties: The Value-added Tax is the state tax, which is charged on petrol by the State Government of Bihar. As on 4 October 2017, it was 26%. In the Union Budget 2018, which was presented in the first week of February 2018, the central levy on petrol was lessened to 15.34 per litre.

What are the influencers of the Petrol Rate in Bihar?

Some of the main factors that affect petrol rates in Bihar are mentioned below: 

• Global Crude Oil Prices: The price of crude oil in the international market is the most significant factor. 

• Rupee-Dollar Exchange Rate: Since crude oil is purchased in US dollars, any fluctuation in the exchange rate affects the import cost. 

• Government Policies and Taxes: Changes in central and state government tax policies can directly impact the retail price of petrol. 

• Demand and Supply: The balance between the demand for petrol and its supply in the market also plays a crucial role in determining the price. 

• Geopolitical Factors: Political instability in oil-producing regions can disrupt supply and lead to price volatility. 

Today's Petrol Price in Bihar Today vs GST

The Goods and Services Tax (GST), an indirect tax, has replaced several forms of taxes in the country. It was passed by the Central Government in March 2017, but came into existence in July 2017. The GST is alternatively defined as a comprehensive taxation platform to tax all forms of goods and services except petrol, petroleum derivatives and diesel.   

*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.