Petrol, diesel prices rise by ₹2.6, ₹2.7 per litre; fourth hike in two weeks

Petrol and diesel prices were hiked again on Monday, marking the fourth increase in less than two weeks as state-owned fuel retailers continued passing on rising global crude oil costs to consumers.

With the latest revision, petrol prices were raised by ₹2.61 per litre and diesel by ₹2.71, taking the cumulative increase in fuel rates to nearly ₹7.5 per litre since revisions resumed on May 15 after a prolonged freeze.

In Delhi, petrol now costs ₹102.12 per litre, up from ₹99.51, while diesel prices increased to ₹95.20 from ₹92.49, according to industry sources.

The repeated hikes have raised concerns over inflation and increasing transportation costs, as higher fuel prices are expected to impact the prices of essential goods and services across the economy.

Fuel prices had earlier been increased by ₹3 per litre on May 15, followed by a 90-paise hike on May 19. Another revision on May 23 saw petrol prices go up by 87 paise per litre and diesel by 91 paise.

Following Monday’s increase, petrol prices at public sector fuel stations rose to ₹111.21 per litre in Mumbai and diesel to ₹97.83. In Kolkata, petrol now costs ₹113.51 and diesel ₹99.82, while Chennai recorded prices of ₹107.77 for petrol and ₹99.55 for diesel. Fuel prices vary across states due to differences in local taxes.

State-run retailers, Indian Oil Corporation, Bharat Petroleum Corporation Limited and Hindustan Petroleum Corporation Limited, together account for nearly 90 per cent of India’s fuel retail market.

The latest increases come amid a sharp rise in international crude oil prices, which have surged by more than 50 per cent since late February following the US-Israel strikes on Iran and disruptions in shipments through the Strait of Hormuz, one of the world’s key oil transit routes.

Retail fuel prices had remained largely unchanged for over two months despite rising input costs, with the government stating that the move was intended to shield consumers from inflationary pressures. Opposition parties, however, alleged that revisions were delayed until after key state elections.

The first hike on May 15 came shortly after the ruling Bharatiya Janata Party expanded its electoral footprint by winning three of five state and Union Territory elections, including West Bengal.

Private fuel retailers also mirrored the increases announced by PSU oil companies. Nayara Energy had already raised petrol and diesel prices by ₹5 and ₹3 per litre, respectively, in March, while Shell plc increased petrol prices by ₹7.41 per litre and diesel by as much as ₹25 per litre from April 1.

Meanwhile, Jio-bp, the fuel retail joint venture between Reliance Industries and BP, revised prices in line with PSU retailers.

Petrol and diesel prices are now at their highest levels since May 2022. Fuel rates had remained frozen since April 2022, except for a ₹2-per-litre reduction announced in March 2024 ahead of the national elections.
(With PTI inputs)