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Your petrol, diesel bill may rise substantially ahead of Diwali

Oil prices are hovering around $53.21 a barrel as Russian President Vladimir Putin and Saudi Arabia's energy minister Khalid al-Falih commented in Istanbul on OPEC's move to try to cement a cap on oil production.

Petrol and diesel prices are set to be raised this week as international oil prices have hit a one-year high.

The Indian basket of crude has breached the psychological mark of $50 a barrel for the first time since June.

Oil prices are hovering around $53.21 a barrel as Russian President Vladimir Putin and Saudi Arabia's energy minister Khalid al-Falih commented in Istanbul on OPEC's move to try to cement a cap on oil production.

In September, members of the The Organisation of the Petroleum Exporting Countries (Opec) voted to cut production for the first time in eight years.

Oil prices have gained almost 15 per cent since OPEC made the statement.

Oil marketing companies decide the price of petrol and diesel on a fortnightly basis, primarily on the rupee-dollar exchange rate and international oil prices.

In 2014 diesel prices were deregulated, giving oil marketing companies control to hike or cut prices according to global price movement. In 2010, the government deregulated petrol prices and linked them to the international oil rates.

Petrol and diesel price in Delhi was last raised by 14 paise and 10 paise, respectively due to an increase in the dealers commission.

Petrol currently costs Rs. 64.72 a litre in Delhi and diesel Rs. 52.61 per litre.