From tomorrow, the price of fuels like petrol and diesel would go up in 13 cities. In these places, the Euro-IV grade of low-sulphur fuels will be made available.

Known as 'Bharat Stage-IV (Euro-IV) and BS-III (Euro-III)', these would be present in both petrol as well as diesel forms.

The prices had to be raised since these fuels are better than the normal ones and because of that the companies have to bear more cost. This extra cost is going to be passed on to the customers.

The increase will be seen in the retail price which would go up by 50 paise per liter for petrol and 26 paise per liter for diesel. This is going to be for Delhi. The other places will see price increase based on their local duties.

And because of the price hike, the government expects to raise close to Rs. 30,000 crore. It is most important for three companies- Indian Oil, Hindustan Petroleum and Bharat Petroleum.

These companies have seen under-recoveries which have totaled to Rs. 40,000 crore, for FY 2010. By the end of this fiscal, this level is going to be Rs. 70,000 crore.