Noida, May 19 (APAC Media): Oil companies on Tuesday raised petrol and diesel prices for the second time in a week as state-run oil marketing companies (OMCs) continued to grapple with mounting losses due to elevated global crude oil prices amid the escalating West Asia conflict.
Retail prices of petrol and diesel were increased by around 90 paise per litre across major cities, following a Rs 3-per-litre hike announced last week. In Delhi, petrol prices climbed to nearly Rs 99 per litre while diesel prices rose above Rs 91 per litre.
⛽ Petrol Prices (₹/Litre) — Latest Hike
| City | Price (₹) | Change (₹) |
|---|---|---|
| Delhi | 98.64 | +0.87 |
| Kolkata | 109.70 | +0.96 |
| Mumbai | 107.59 | +0.91 |
| Chennai | 104.49 | +0.82 |
The latest increase comes as Brent crude prices remain volatile over fears of supply disruptions and shipping risks in the Strait of Hormuz, a key global oil transit route affected by tensions in the Middle East.
⛽ Diesel Prices (₹/Litre) — Latest Hike
| City | Price (₹) | Change (₹) |
|---|---|---|
| Delhi | 91.58 | +0.91 |
| Kolkata | 96.07 | +0.94 |
| Mumbai | 94.08 | +0.94 |
| Chennai | 96.11 | +0.86 |
“The ongoing crisis has placed state-run oil marketing companies under significant financial pressure. At current crude price levels, the combined losses of IOC, BPCL and HPCL in the April-June quarter could touch Rs 1 lakh crore, potentially wiping out their entire projected profits for FY26,†Petroleum Minister Hardeep Singh Puri said last week.
State-owned Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) had kept fuel prices largely unchanged despite rising import costs, leading to heavy under-recoveries, industry officials said.
“Petrol and diesel prices have increased by around ₹3.5–₹4 in the past few days, which will place a significant burden on common people and household budgets,†said BJD MP Sasmit Patra.
According to estimates, the three OMCs were collectively losing between Rs 750 crore and Rs 1,000 crore per day on the sale of petrol, diesel and LPG before the recent revisions.
“The latest hike may provide temporary relief to OMC balance sheets, but if crude remains elevated, further adjustments cannot be ruled out,†said an energy analyst at a Mumbai-based broking firm.
The increase in fuel prices is expected to add pressure on retail inflation by raising transportation and logistics costs across sectors, economists said.
“Higher fuel prices are likely to feed into food and commodity inflation in the coming weeks through increased transportation and logistics costs,†said economist Sunil Kumar Sinha.
Prime Minister Narendra Modi recently urged citizens to use fuel judiciously and stressed the need to reduce India’s dependence on imported crude oil through renewable energy expansion and ethanol blending initiatives.
The government has maintained that daily fuel price revisions are undertaken by OMCs in line with market conditions.
Disclaimer:Â Views expressed are those of experts and do not reflect APAC Media. This is for informational purposes only, not financial advice. We are not responsible for investment decisions. Please consult a qualified financial advisor before investing.
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