The change in the price of Petrol and Diesel can be understood from the graph below, the graph captures the data from the year 1989 to 2012.
The percentage change in the Petrol and Diesel price can be understood through the chart shown below:
Year on year the change in the fuel price is found to be:
| Yr | Petrol | Diesel |
| 1999 – 95 |
11.27% |
11.34% |
| 1995 – 2000 |
7.24% |
14.79% |
| 2000 – 2005 |
9.72% |
13.57% |
| 2005 – 2010 |
3.40% |
4.61% |
| 2010 – 2012 |
17.84% |
7.51% |
| Average |
9.89% |
10.36% |
The future projection of the Petrol and Diesel price is as below:
| Year | Petrol Rate | Diesel Rate |
|
2012 |
73.18 |
40.91 |
|
2013 |
80.42 |
45.15 |
|
2014 |
88.37 |
49.83 |
|
2015 |
97.12 |
54.99 |
|
2016 |
106.72 |
60.69 |
|
2017 |
117.28 |
66.98 |
|
2018 |
128.88 |
73.92 |
|
2019 |
141.63 |
81.58 |
|
2020 |
155.64 |
90.03 |
|
2021 |
171.04 |
99.36 |
|
2022 |
187.96 |
109.66 |
Despite such frequent hikes in the price of fuel, consumers are still opting to buy cars. An attempt is made, to assist such individual in making a decision to buy Petrol / Diesel engine cars. Assuming, the particulars mentioned below for an individual to buy a car, following calculation will allow him to decide whether to opt for a Petrol or Diesel engine car.
| Particulars | Petrol | Diesel |
| Average Mileage ( Km ) | 15.00 | 16.00 |
| Maintenance cost (per month) | 600.00 | 650.00 |
| Diff in cost ( Rs ) | – | 100,000.00 |
| Growth rate of cost of fuel |
9.89% |
10.36% |
| Usage per year | 5,000.00 | 5,000.00 |
| n | 10.00 | 9.00 |
| cost of fuel | 73.18 | 40.91 |
| Growth rate for cost of maintenance |
10% |
10% |
| Lts of fuel consumed per year | 333.33 | 312.50 |
If an individual opts to buy a Diesel car, which gives an average mileage of 16 km / lt (city and highway mileage together) and with the above said particulars, he / she should use the car for atleast 6 – 7 years to obtain leverage over the Petrol engine car. If the car runs more than 5,000km per year the time line of 6 – 7 years will be further reduced.
Disclaimer: The above suggestion, should not be taken as the final decision to buy car. The buyers should explore his / her own requirements and then decide accordingly. The author of this post, doesn’t hold any responsibility for anything. This is purely for an educational purpose.
