New Delhi, May 23 (V7N)- India’s state-owned oil marketing companies have increased petrol and diesel prices for the third time this month as global crude oil prices continue to rise amid tensions surrounding the Iran conflict, Reuters reported.
The revised fuel prices came into effect on Saturday (May 23), according to traders and local media reports.
Under the latest adjustment, the price of petrol in New Delhi has increased by 87 paise to Rs 99.51 per liter, while diesel prices have risen by 91 paise to Rs 92.49 per liter.
India, the world’s third-largest oil importer and consumer, had initially delayed retail fuel price hikes despite rising international crude prices following the escalation of tensions involving Iran. However, the three price hikes announced this month have collectively increased fuel prices in the country by around Rs 5 per liter.
The May 15 adjustment marked India’s first major domestic fuel price revision in four years. Analysts say state-owned oil companies are opting for gradual price increases instead of imposing a large hike at once. A similar strategy was followed in 2022 after assembly elections in several key Indian states.
Opposition parties in India have accused the government of Narendra Modi of delaying fuel price increases for political reasons during recent state elections and shifting the burden to consumers afterward.
Meanwhile, the chairman of Bharat Petroleum said that despite the latest adjustments, oil companies are still facing losses ranging from Rs 25 to 30 per liter of diesel and Rs 10 to 14 per liter of petrol.
India’s Oil Ministry stated that the government currently has no plans to provide financial subsidies or incentives to support refinery operations.
The country’s three major state-owned fuel retailers — Bharat Petroleum, Indian Oil Corporation and Hindustan Petroleum — together operate more than 90 percent of India’s fuel stations and generally coordinate retail price decisions.
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