Amid a global energy crisis triggered by the ongoing conflict in West Asia, fuel prices in India remained largely stable on Friday, offering relief to consumers despite rising international crude oil rates.
However, oil marketing companies have increased the price of premium petrol variants by around ₹2 per litre, while keeping regular petrol and diesel prices unchanged.
The hike applies to high-end fuel products such as Speed, Power, and XP95, sold by Bharat Petroleum Corporation Limited, Hindustan Petroleum Corporation Limited, and Indian Oil Corporation. The increase ranges between ₹2.09 and ₹2.35 per litre, even as “normal” petrol prices continue to remain steady across the country.
Why Are Fuel Prices Stable In India?
While global crude oil prices have surged due to geopolitical tensions involving the United States, Israel, and Iran, India has not mirrored the same trend at the retail level. Brent crude futures were hovering around $109 per barrel on Friday, after crossing $114 a day earlier.
Despite this volatility, state-run oil marketing companies have been absorbing the rising costs to shield consumers. According to market estimates, every $10 increase in crude oil prices reduces OMC margins by about ₹6.3 per litre.
The government has also not announced any excise duty cuts yet, though experts suggest that tax reductions could help offset the impact if crude prices continue to rise.
LPG Prices Rise, Panic Booking Eases
Unlike petrol and diesel, LPG prices have seen a noticeable increase over the past month. Domestic cylinders have become costlier by around ₹60, while commercial cylinders have risen by ₹144 across several cities.
Concerns over supply disruptions especially with nearly half of India’s LPG imports passing through the Strait of Hormuz had earlier triggered panic buying among households. However, the government has confirmed that bookings have now returned to near pre-war levels.
To manage the situation, authorities invoked the Essential Commodities Act and directed refineries to ramp up production, ensuring steady supply.
City-Wise Petrol, Diesel Prices In India (March 20)
Fuel prices continue to vary slightly across major cities due to local taxes:
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Delhi: Petrol ₹94.77 | Diesel ₹87.67
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Mumbai: Petrol ₹103.54 | Diesel ₹90.03
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Kolkata: Petrol ₹105.45 | Diesel ₹92.02
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Chennai: Petrol ₹100.84 | Diesel ₹92.39
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Hyderabad: Petrol ₹107.46 | Diesel ₹95.70
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Bengaluru: Petrol ₹102.96 | Diesel ₹90.99
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Lucknow: Petrol ₹94.69 | Diesel ₹87.81
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Ahmedabad: Petrol ₹94.49 | Diesel ₹90.17
Global Pressure Mounts On Fuel Prices
Fuel prices have surged worldwide in recent weeks. The United States has seen gasoline prices jump by nearly 20%, while countries like China, the UK, Pakistan, and Sri Lanka have also reported sharp increases.
The ongoing disruption in oil shipments through the Strait of Hormuz has further tightened global supply, adding to market uncertainty.
What Lies Ahead in Fuel Prices fate?
While Indian consumers are currently insulated from rising global fuel prices, experts warn that this may not last indefinitely. Oil marketing companies continue to bear the burden of high crude costs, and without government intervention through tax cuts, a broader price hike in petrol and diesel may become unavoidable.
For now, the increase in premium petrol prices appears to be a partial measure to offset losses, while keeping essential fuel costs stable for the general public.
Sofia Babu Chacko is a journalist with over five years of experience reporting on Indian politics, crime, human rights, gender issues, and stories about marginalized communities. She believes journalism plays a crucial role in amplifying unheard voices and bringing attention to issues that truly matter. Sofia has contributed articles to The New Indian Express, Youth Ki Awaaz, and Maktoob Media. She is also a recipient of the 2025 Laadli Media Awards for gender sensitivity. Beyond the newsroom, she is a music enthusiast who enjoys singing. Connect with Sofia on X: https://x.com/SBCism
