Petrol prices have been reduced by 2 rupees and 2 paise a litre. The New prices came into effect midnight last night. With this reduction, the price of petrol in Delhi has come down to 71 rupees and 16 paise a litre. While the new price of petrol in Mumbai is 76 rupees 45 paise a litre, it will be 75 rupees 81 paise in Kolkata, and 75 rupees 40 paise in Chennai. Petrol Price in the national capital could decrease further by 92 paise when a proposal by the Delhi government to cut VAT on the increased component of the fuel comes into effect. Last week petrol prices were hiked by 7 rupees 54 paise a litre including taxes.

The Minister of State for Petroleum and Natural Gas RPN Singh said yesterday that the decision to cut petrol prices has been taken after a fortnightly review by the oil marketing companies as a result of a fall in international oil prices. He, however, maintained that this is not a partial rollback.

Minister of State in the Prime Minister's Office V. Narayanasamy has said that there is every possibility of petrol prices being further reduced as the price of crude oil in the international market are expected to fall.

Overseas Indian Affairs Minister Vyalar Ravi has sought a closer look on the petrol price issue in view of the reports that the oil companies are suffering a loss is not true. He has written a letter to the Petroleum Minister S. Jaipal Reddy in this regard.

Reacting to the reduction in petrol prices, West Bengal Chief Minister Mamta Banerjee said she is not happy with the quantam of reduction in the prices and demanded a complete roll back. The BJP and left parties have also demanded a complete roll back in petrol prices.