Petrol and diesel prices in India have increased once again, marking the fourth fuel price hike within the last two weeks. Petrol prices were raised by Rs 2.61 per litre, while diesel became costlier by Rs 2.71 per litre. With the latest revision, fuel prices have now surged by nearly Rs 7.5 overall during this period.
Fuel Prices Continue to Climb
State-run oil marketing companies (OMCs) have been revising fuel rates to offset losses suffered after holding prices steady for several weeks despite rising global crude oil costs. The recent increases are largely linked to the ongoing tensions in West Asia, particularly the conflict involving the United States and Iran, which has disrupted global oil markets and raised concerns over the Strait of Hormuz.
After the latest hike, petrol in Delhi is now priced at Rs 102.12 per litre, while diesel costs Rs 95.20 per litre.
Global Tensions Impact Oil Market
ONGC Director (Exploration) Sushma Rawat said crude oil prices have remained highly unstable due to uncertainty surrounding the West Asia conflict. According to her, global prices tend to fall whenever there are signs of a peace agreement, but they rise again when hopes of a quick resolution fade.
Rawat also stated that the government had shielded consumers from rising international oil prices for around 76 days. However, oil marketing companies were reportedly losing nearly Rs 1,000 crore every day, making price revisions unavoidable.
Previous Fuel Price Revision
Before this latest increase, petrol and diesel prices were revised on May 23, when petrol prices went up by Rs 0.87 per litre and diesel by Rs 0.91 per litre.
India had earlier witnessed a major fuel price hike on May 16, when both petrol and diesel prices increased by Rs 3 per litre after remaining mostly unchanged since April 2022. The only major relief during this period came in March 2024, when prices were reduced by Rs 2 per litre ahead of the Lok Sabha elections.
Global Crude Oil Prices Fall Slightly
Meanwhile, international crude oil prices recorded a sharp drop of over five per cent amid expectations of a possible peace deal between the United States and Iran.
North Sea Brent Crude fell by 5.1 per cent to USD 98.22 per barrel, while West Texas Intermediate (WTI) crude dropped 5.2 per cent to USD 91.57 per barrel before recovering slightly later in trading.
City-Wise Petrol and Diesel Prices
Delhi
- Petrol: Rs 102.12 (+2.61)
- Diesel: Rs 95.20 (+2.71)
Kolkata
- Petrol: Rs 113.51 (+2.87)
- Diesel: Rs 99.82 (+2.80)
Mumbai
- Petrol: Rs 111.21 (+2.72)
- Diesel: Rs 97.83 (+2.81)
Chennai
- Petrol: Rs 107.77 (+2.46)
- Diesel: Rs 99.55 (+2.57)
Rising Costs May Affect Daily Expenses
The latest fuel price hike is expected to increase financial pressure on commuters, transport operators, and businesses. Analysts have warned that continued increases in petrol and diesel prices could raise transportation and logistics costs, eventually leading to higher prices for essential goods and food items across the country.
Government officials have maintained that the fuel price revisions are necessary to manage rising import costs and ensure stable fuel supplies amid ongoing geopolitical uncertainty and fluctuations in the global energy market.