Petrol and diesel prices across major Indian cities remained unchanged on April 4, even as global crude oil benchmarks edged higher amid rising geopolitical tensions in West Asia and disruptions to key maritime trade corridors.
State-run oil marketing companies, including Indian Oil Corporation Ltd and Bharat Petroleum Corporation Ltd, have hiked the price of industrial diesel by Rs 28.22 per litre, a 25% increase, to Rs 137.81 per litre. This applies to high-speed diesel sold in bulk to commercial and industrial establishments. The companies cited the ongoing Middle East conflict and rising crude oil costs as reasons for the hike.
In the national capital, petrol is still selling at Rs 94.77 per litre, while diesel is priced at Rs 87.67 per litre. Rates are comparatively steeper in Mumbai, where petrol is being sold at Rs 103.50 per litre and diesel at about Rs 90.01 per litre. With state elections approaching, the government may prefer to keep auto fuels under control.
| City | Petrol (Rs/Litre) | Diesel (Rs/Litre) |
|---|---|---|
| Delhi | 94.77 | 87.67 |
| Mumbai | 103.54 | 90.03 |
| Kolkata | 105.45 | 92.02 |
| Chennai | 100.84 | 92.39 |
| Ahmedabad | 94.49 | 90.16 |
| Hyderabad | 107.46 | 95.70 |
| Patna | 105.71 | 91.49 |
| Bengaluru | 102.96 | 90.99 |
| Lucknow | 95.34 | 88.50 |
Global Oil Prices
Oil prices surged above $110 a barrel after US President Donald Trump announced plans to escalate military action against Iran, potentially prolonging disruptions to energy flows through the Strait of Hormuz. WTI prices have roughly doubled since the start of the year, and analysts warn that continued conflict could push prices above $120 per barrel. Oil futures won't trade on Friday due to the Easter holiday weekend, creating a longer-than-usual weekend period without price movements, reported Bloomberg.
Prices of commercial LPG were hiked by Rs 195.50 on Wednesday, April 1, on the back of surge in global crude oil prices linked to the escalating Middle East conflict. A 19-kg commercial LPG now costs Rs 2,078.50 in Delhi, according to state-owned oil companies. Commercial liquefied petroleum gas rates were last increased by Rs 114.5 per 19-kg cylinder on March 1.
Domestic cooking gas LPG rates, which were last hiked by Rs 60 per 14.2-kg cylinder on March 7, remain unchanged, according to news agency PTI. It costs Rs 913 per 14.2-kg cylinder in Delhi. State-owned oil marketing companies Indian Oil Corporation, Bharat Petroleum, and Hindustan Petroleum revise ATF and LPG prices on the first day of every month based on international benchmarks and the exchange rate.
The government has also eased norms to allow sale of subsidized kerosene through select petrol pumps for a limited period, as global geopolitical tensions disrupt energy supply chains.
In a notification issued on March 29, the Ministry of Petroleum and Natural Gas permitted public sector oil marketing companies to distribute PDS superior kerosene oil (SKO) via designated service stations in up to 21 states and Union Territories that were earlier kerosene-free.
What Drives Petrol and Diesel Prices?
Fuel prices in India depend on several factors, with global crude oil prices being the most significant as crude is the primary raw material used to produce petrol and diesel.
The rupee–dollar exchange rate also influences fuel prices since India imports a large portion of its crude oil requirements.
Additionally, central excise duty and state-level VAT significantly affect the final retail price of petrol and diesel, which is why rates differ across cities.
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