Petrol-Diesel Prices Hiked Again: Check New Fuel Rates In Delhi, Mumbai, Kolkata After Third Increase This Month Amid Iran-US War

Fuel Prices Hike: State-run fuel retailers on Saturday increased petrol and diesel prices for the third time this month, pushing rates sharply higher across major Indian cities as global crude oil prices continue to increase due to unresolved Iran-war and the possibility of the two countries returning to conflict. According to the new hike, petrol prices rise by 87 paise per litre and diesel by 91 paise per litre. After the increase, petrol in Delhi is now priced at ₹99.51 per litre, while diesel costs ₹92.49 per litre.

Revised Fuel Prices Across Metro Cities

Retail selling prices of petrol and diesel across the four major metros for May 23 are as follows:

Delhi    

Petrol:

99.51 (+0.87)  

Diesel

92.49 (+0.91)

Kolkata    

Petrol

110.64 (+0.94)    

Diesel

97.02 (+0.95)

Mumbai    

Petrol

108.49 (+0.90)    

Diesel

95.02 (+0.94)Chennai   

Petrol

105.31 (+0.82)    

Diesel

96.98 (+0.87)

Why Are Fuel Prices Are Rising?

This is the third fuel price revision this month. Petrol and diesel prices were first raised by ₹3 per litre on May 15, followed by another hike of around 90 paise on May 19. With the latest revision now in effect, fuel prices have increased by nearly ₹5 per litre in just over a week. The fresh hike comes as the Centre seeks to recover losses caused by surging crude oil prices amid the US war on Iran. Global crude rates have remained increasing due to escalating tensions in West Asia and fears of supply disruptions after Iran shut the Strait of Hormuz following US-Israeli strikes.

The country’s three state-run oil marketing companies – Indian Oil Corporation (IOC), Bharat Petroleum Corporation Limited (BPCLE) and Hindustan Petroleum Corporation Limited (HPCL),  had earlier cited daily revenue losses of nearly ₹1,000 crore on the sale of petrol, diesel and cooking gas because of inflated global crude prices. Industry executives said the latest increase may ease some pressure on retailers. However, oil marketing companies are still estimated to be incurring losses of ₹9-12 per litre on fuel sales. Analysts have warned that additional hikes may follow if international crude prices remain high.

State-run oil marketer BPCL on Tuesday said it is currently selling diesel at a loss of ₹25-30 per litre and petrol at a loss of ₹10-14 per litre. In comparison, private retailer Shell India is selling petrol at over ₹115 per litre and diesel at more than ₹126 per litre, according to a Bloomberg report.

India’s Dependence On Imported Crude 

India remains heavily dependent on imported crude oil, sourcing more than 88% of its requirements from overseas markets. On Friday, Brent crude futures rose by $1.66, or 1.6%, to $104.24 a barrel by 0405 GMT. Meanwhile, US West Texas Intermediate futures gained $1.11, or 1.2%, to reach $97.46 per barrel.

Amid concerns over rising fuel prices and demand, the Ministry of Petroleum and Natural Gas assured consumers that the country has adequate stocks of petrol and diesel. In a post on X late Friday, the ministry said, “Responsible consumption and public cooperation will help ensure smooth fuel availability for everyone during the ongoing high-demand period.”

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