New Delhi: Fuel prices in India saw selective increases on Friday, with higher-grade petrol and bulk diesel becoming costlier, even as rates for regular petrol and diesel remained unchanged amid volatility in global crude markets.
Industry sources said the price of premium 95-octane petrol in Delhi was raised by Rs 2 per litre, taking it from Rs 99.89 to Rs 101.89 per litre. At the same time, bulk diesel supplied to industrial consumers saw a sharp rise of about Rs 22 per litre. In the national capital, bulk diesel prices jumped from Rs 87.67 to Rs 109.59 per litre.
Similar increases were reported in other metro cities. In Mumbai, bulk diesel rates climbed from Rs 90.39 to Rs 113.11 per litre, marking a rise of Rs 22.72. Kolkata saw prices move from Rs 92.30 to Rs 114.27 per litre, up Rs 21.97, while in Chennai, rates increased from Rs 92.54 to Rs 113.38 per litre, a hike of Rs 20.84.
The revisions come against the backdrop of a surge in international oil prices, which touched USD 119 per barrel on Thursday amid escalating tensions linked to the Iran conflict, before easing to around USD 108 per barrel.
Despite the global pressure, retail prices of standard fuels have not been revised. In Delhi, normal petrol continues to be priced at Rs 94.77 per litre, while diesel remains at Rs 87.67 per litre. Regular petrol, typically rated at 91-92 octane, is widely used for everyday vehicles, whereas premium variants with higher octane levels of 95-98 are meant for high-performance engines.
Addressing the changes, Sujata Sharma, Joint Secretary in the Ministry of Petroleum and Natural Gas, said there had been no increase in prices affecting the general public. “Some increase is reported in the premium category, which hardly makes up for 2-4 per cent of the entire petrol sold in the country,” she said, adding, “There is no increase in price for the common man.”
She also reiterated that fuel pricing is determined by oil marketing companies following deregulation of petrol and diesel in 2010 and 2014, respectively. “It is decided by oil marketing companies. Government does not regulate petrol and diesel prices,” Sharma said.
Officials indicated that while global oil markets are being closely monitored, there is no immediate plan to revise retail fuel prices. Oil companies are expected to absorb current cost pressures for now. “Our priority is to make energy available to all consumers. Till now we have not increased the prices,” Sharma added.
In a statement on social media platform X, Indian Oil Corporation said it had kept regular fuel prices stable despite rising international costs. “A limited revision applies only to premium petrol XP-95, with minimal impact on overall consumption,” the company noted.
Retail fuel prices have remained unchanged since April 2022, with state-run retailers such as Indian Oil Corporation, Bharat Petroleum Corporation Ltd and Hindustan Petroleum Corporation Ltd balancing losses during high crude phases with gains when prices soften.
India imports about 88 per cent of its crude oil and nearly half of its natural gas, much of it routed through the Strait of Hormuz. Recent geopolitical developments, including US and Israeli strikes on Iranian facilities, have raised concerns over shipping disruptions, with insurers reportedly withdrawing coverage and tanker movement slowing.
Oil prices had earlier surged to USD 119 per barrel in June 2022 following Russia’s invasion of Ukraine. While companies recorded modest profits that year, they reported a record Rs 81,000 crore profit in FY24, helping offset earlier margin pressures. In the current financial year, the three state-run firms posted a combined profit of Rs 23,743 crore in the December quarter alone.