Petrol prices in Delhi have crossed the ₹100 mark to reach ₹102.12 per litre, while diesel prices rose to ₹95.20 per litre following Monday's revision. According to industry officials, this marks the fourth fuel price hike since May 15, with the cumulative rise reaching nearly ₹7.5 per litre after daily revisions resumed following a prolonged freeze. The latest increase was driven by rising international crude oil prices and higher import costs caused by rupee depreciation. As per ONGC Director (Exploration) Sushma Rawat, crude oil prices have remained highly volatile amid uncertainty over the West Asia conflict, with prices dipping when peace accords are declared and rising again when no solution emerges.
Fuel rates were revised upward across major metro cities, with petrol prices in Mumbai climbing to ₹111.21 per litre and diesel rates rising to ₹97.83 per litre. In Kolkata, petrol prices touched ₹113.51 per litre and diesel prices reached ₹99.82 per litre. Chennai recorded petrol prices of ₹107.77 per litre and diesel prices of ₹99.55 per litre. Monday's revision follows earlier hikes on May 15, May 19 and May 23, with petrol and diesel prices initially raised by ₹3 per litre on May 15. According to BPCL's former Marketing Director Sukhmal Kumar Jain, crude prices had risen from around USD 65-70 per barrel to USD 110-115 per barrel during the conflict period, amplifying the economic impact on oil marketing companies.
Global oil markets have remained volatile due to continuing geopolitical tensions in West Asia and disruptions in shipments through the Strait of Hormuz, one of the world's most critical oil transit routes. According to company executives from Oil and Natural Gas Corporation and Bharat Petroleum Corporation Limited, sustained crude price volatility and under-recoveries have increased pressure on oil retailers. The repeated increases come as oil companies attempt to recover losses incurred after holding retail prices steady despite crude oil crossing the $100 per barrel mark in global markets. ONGC's Sushma Rawat noted that Indian consumers had been shielded from the full impact of rising global energy prices for a period of time, with the government providing relief for 76 days during which prices remained unchanged.
Government officials had earlier stated that oil marketing companies were still facing heavy losses despite previous price increases. According to estimates by CRISIL, oil companies were continuing to incur losses of about ₹10 per litre on petrol and ₹13 per litre on diesel even after earlier revisions. BPCL's Sukhmal Kumar Jain highlighted that India imports nearly 85 per cent of its crude requirements, amplifying the economic impact of rising global crude prices. Petroleum Ministry Joint Secretary Sujata Sharma had stated that the May 15 hike reduced losses by around 25 per cent, though state-run firms were still losing nearly ₹750 crore per day.
Compressed natural gas (CNG) prices have also increased in recent weeks, with rates in Delhi raised by Re 1 per kg on May 23, taking cumulative hikes since May 15 to ₹4 per kg. The sustained price increases across multiple energy sectors reflect the broader impact of global crude oil price volatility and currency depreciation on India's energy market. As per BPCL's Jain, the situation for oil companies is that "the cost is more and the recovery is less" due to India's heavy dependence on imported crude oil.
