NEW DELHI, May 25 — State-run oil marketing companies on Monday raised petrol prices by ₹2.61 per litre and diesel by ₹2.71 per litre, marking the fourth increase in 10 days and pushing petrol prices in Delhi above the ₹100 mark for the first time in four years.
Following the latest revision, petrol in Delhi now costs ₹102.12 per litre, up from ₹99.51, while diesel rose from ₹92.49 to ₹95.20 per litre. Cumulatively, petrol prices have increased by around ₹7.35 per litre and diesel by ₹7.53 over the past two weeks.
The hike comes even as international crude prices eased sharply on Monday amid expectations of a possible de-escalation in the ongoing West Asia conflict. Benchmark Brent crude, which closed at $103.54 a barrel on Friday, fell to $99.36 in early trade Monday as markets anticipated the resumption of oil and gas movement through the Strait of Hormuz, a route that carries nearly one-fifth of global energy supplies.
Industry executives and analysts said the price revisions are unlikely to end soon, with state-run oil firms seeking to recover both current revenue losses and earlier under-recoveries on petrol, diesel and cooking gas.
“Because of assembly elections, the state-run oil firms did not raise prices immediately after the war broke out in West Asia on February 28,” industry sources said, requesting anonymity.
Brent crude had surged to nearly $120 a barrel on March 9, compared to $72.87 on February 27, after the conflict intensified.
According to independent experts, losses on petrol and diesel sales have fallen below ₹10 per litre after four rounds of hikes, though executives at oil marketing companies estimate the under-recoveries to be higher, factoring in losses on LPG sales as well.
The financial burden on the three public-sector oil firms has gradually reduced with each revision. Daily losses reportedly stood at nearly ₹1,000 crore before the first hike on May 15, declined to ₹750 crore after the second increase on May 19, and have now dropped to below ₹500 crore following Monday’s revision.
Analysts expect another increase if Brent crude remains above $100 a barrel. Some said prices may stabilise only if crude falls closer to $70 per barrel.
The continued increases are drawing scrutiny because oil companies remain strongly profitable despite the ongoing conflict-driven volatility. The combined net profit of Indian Oil Corporation, Bharat Petroleum Corporation Ltd and Hindustan Petroleum Corporation Ltd rose 40.74% year-on-year to ₹19,470 crore during the January–March 2026 quarter.
For the full financial year 2025–26, the three companies posted combined profits of ₹77,280.65 crore, up 130% from ₹33,601.57 crore the previous year, supported by stable crude prices and strong refining margins before the conflict escalated.
The latest revisions follow a pattern similar to April 2022, when petrol and diesel prices were raised almost daily after Russia’s invasion of Ukraine. At that time, rates climbed roughly ₹9 per litre in just over a week.
Across metros, petrol prices now stand at ₹113.51 per litre in Kolkata, ₹111.21 in Mumbai and ₹107.77 in Chennai. Diesel prices have risen to ₹99.82 in Kolkata, ₹97.83 in Mumbai and ₹99.55 in Chennai. Local taxes and levies account for the variation in rates between cities.