Petrol and diesel prices today, July 11: Fuel prices in Delhi, Mumbai, Bengaluru and Kolkata as oil price softens | Today’s news
Petrol and Diesel Prices Today, July 11: Fuel prices in India remained steady on Saturday despite oil prices softening from earlier weekly highs. That retreat on Friday was driven by the resumption of diplomatic talks between the United States and Iran. The outbreak of fighting appears subdued as both sides continue technical discussions to find a solution.
With negotiations underway, the June deal to end military action is “terminated,” US President Donald Trump said. The recent escalation of hostilities has deterred tanker traffic through the Strait of Hormuz and, as a result, has upended global energy trade. As the Persian Gulf waterway remains a point of contention, Washington is demanding a public statement from Tehran saying shipping through the Hormuz choke point has been fully restored, the AP reported. According to the semi-official Tasnim agency in Tehran, a Qatari delegation has arrived in Iran for the next round of negotiations.
Brent crude, the international benchmark, fell 0.41% to settle at $75.99 a barrel, Reuters reported.
Traffic in Hormuz remained light on Friday after appearing to come to a near standstill on July 9, according to ship tracking data. Scott Shelton, energy specialist at TP ICAP Group Plc, said: “Overall, the price action is consistent with the narrative that the market does not think the hostility will last,” Bloomberg reported. He added: “On the other hand, oil flows from the Strait of Hormuz have decreased significantly from last week, while there are indications that China may be increasing the amount.”
Moving on to city-specific petrol and diesel prices on July 11, we observe that fuel rates remain unchanged and largely in line with the effective prices brought about by the last revision that took place on May 25. As state-owned OMCs determine retail fuel prices in India, domestic petrol and diesel prices remain stable despite global fluctuations in oil prices.
The center defends the push for ethanol blending
Amid the controversy over ethanol blending and its impact on vehicles, the Ministry of Petroleum and Natural Gas issued an official explanation defending India’s ethanol blending program. The government rejected claims that the country was moving too quickly compared to nations like Brazil, stressing that the country’s transition to ethanol gasoline was a gradual, carefully planned process spanning more than two decades.
According to the petroleum ministry, the ethanol blending pilot program was started in 2001, meaning biofuel initiatives in India predated the current government. The biofuels project was formally announced in 2004, and by 2006 E5 (5 percent ethanol blending) was in place in several states.
During the earlier days of the initiative, “ethanol production depended largely on sugarcane, a seasonal crop, with an annual production capacity of around 400 million litres, insufficient to meet higher blending targets.” The breakthrough came after the launch of the National Biofuels Policy in May 2018, which focused on creating an ecosystem for large-scale ethanol production.
