Petrol, Diesel Price Hike: Oil companies raised fuel prices in the country by about Rs 90 per litre in major metros on Tuesday. It is the second rise in under a week. The move is driven by rising crude oil prices in the world market and rising tensions in the Middle East. Households that already grappling with rising household expenses, transport and utility bills are facing more pressure from rising fuel prices.
The increase follows a trend of previous price hikes, which saw prices increase by Rs 3 per litre on May 15. Petrol in Delhi now costs Rs 98.64 per litre after a price increase of 87 paise, whereas diesel now costs Rs 91.58 per litre after an increase of 91 paise.
Latest Petrol and Diesel Prices In Metro Cities
| City | Petrol Price | Change | Diesel Price | Change |
|---|---|---|---|---|
| Delhi | Rs 98.64/litre | +87 paise | Rs 91.58/litre | +91 paise |
| Mumbai | Rs 107.59/litre | +91 paise | Rs 94.08/litre | +94 paise |
| Kolkata | Rs 109.70/litre | +96 paise | Rs 96.07/litre | +94 paise |
| Chennai | Rs 104.49/litre | +82 paise | Rs 96.11/litre | +86 paise |
Why Are Petrol and Diesel Prices Rising Again?
To the greater extent this has been caused because there are now concerns again about US-Iran friction having a chilling effect in all of the world’s oil markets and a disturbing influence on the lines of supply of crude oil
However, Brent Crude remains firm, supported by increased Middle East tensions, and sources within the oil industry said that even though oil companies had kept their retail prices stagnant in recent weeks while the oil prices were rising, there has been a subsequent change to the petrol and diesel prices. For the last 10 weeks, the oil marketing companies had kept the increases in the input cost as per the market but had not passed the prices to the customers. However, this is putting mounting pressure on the margins of OMCs.
But with global crude prices soaring, the losses have become unsustainable, and companies have been forced to revise fuel rates twice in a week.
How Commonly Will The Fuel Price Hike Affect People?
Rising petrol and diesel prices quickly increase at fuel stations.
Higher fuel prices usually mean costlier transport, which eventually impacts prices of vegetables, groceries, FMCG products and other daily use essentials. Small traders, operators of transport services, taxi drivers, and commuters who depend on travel on a daily basis will feel the impact immediately.
If fuel prices continue to climb, they could also push up public transport expenses.
Higher diesel costs could push up businesses’ operating costs and squeeze margins, especially in logistics-heavy sectors.
Can Fuel Prices Continue To Rise?
The big question now for consumers and markets is, if the global crude oil prices continue to rise and the geopolitical tensions are not resolved, petrol and diesel prices in India could witness further revisions in the coming days, analysts said.
A sustained rise in fuel prices could also pose problems for India’s inflation outlook and add to pressure on household budgets already struggling with higher food and utility costs.
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Priyanka Roshan is a business writer and chief sub-editor at the NewsX website who tracks everything from stock market swings and corporate earnings to personal finance trends and policy shifts. Known for turning fast-moving business developments into sharp, reader-friendly stories, she combines speed, accuracy, and a data-driven approach to break down complex financial news for everyday audiences.
With over 9.5 years of newsroom experience, Priyanka has worked with leading media organisations, including Moneycontrol, Times Now, and Ping Digital, covering diverse beats such as business, politics, technology, auto, travel, sports, and the world. From live breaking news desks to SEO-led digital storytelling, she specialises in creating engaging content that keeps readers informed without overwhelming them.
