Premium petrol prices have been hiked by around Rs 2–2.3 per litre, even as regular petrol and diesel rates remain unchanged across the country.
The hike applies to high-octane fuels such as Indian Oil’s XP95 and Hindustan Petroleum’s Power petrol, based on dealer inputs from select cities. The revised prices reportedly came into effect from today.
At some outlets, IOCL’s XP95 is now priced at around Rs 101.80 per litre, while HPCL’s premium petrol has also seen a similar increase across various pumps.
WHY ARE PREMIUM PETROL PRICES RISING?
The increase in premium petrol prices comes at a time when global crude oil prices have surged sharply.
Brent crude has been trading firmly above the $100 per barrel mark amid escalating tensions in West Asia and fears of supply disruptions. Higher crude oil prices increase input costs for oil marketing companies such as Indian Oil, HPCL and BPCL.
At the same time, the rupee has fallen to record lows against the US dollar, making crude imports more expensive for India, which depends heavily on imported oil.
As a result, oil companies appear to have opted for a selective price hike in premium petrol variants, instead of raising prices of regular petrol and diesel, which are more widely used.
The government has said the increase is limited to premium fuels and not a broader revision.
“Only premium category petrol prices have increased. Prices of petrol and diesel have been deregulated, and any price hike is a corporate decision,” Sujata Sharma, Joint Secretary in the Ministry of Petroleum and Natural Gas, said.
NO CHANGE IN REGULAR FUEL PRICES
It may be noted that there has been no change in regular petrol and diesel prices, which continue to remain stable across major cities including Delhi, Mumbai, Bangalore, Hyderabad and Chennai.
Fuel prices for standard petrol have remained unchanged for an extended period despite volatility in global crude oil markets, as policymakers remain cautious about inflation.
Since premium petrol accounts for a smaller share of consumption, it allows companies to adjust prices without affecting the broader public.
WHAT IT MEANS FOR CONSUMERS
For most consumers, the immediate impact is limited as regular petrol prices remain unchanged.
However, users of high-octane fuels such as XP95 and Power petrol will see a marginal increase in fuel expenses.
At the same time, the move signals that cost pressures are building in the fuel system. If crude oil prices remain elevated, broader fuel price adjustments cannot be ruled out.
