Petrol, diesel prices rise for fourth time: Check latest fuel prices in Delhi, Mumbai, Bengaluru on May 26

Petrol and diesel prices were raised for the fourth time in less than two weeks on Monday 25 May, with the cumulative rise in retail fuel prices now standing at ₹ ₹7.5 per liter and in big cities. The latest revision has brought petrol prices in Delhi up to par ₹102.12 per liter while diesel rose to ₹95.20 per litre, according to price notices issued by fuel retailers.

The increase comes amid continued volatility in global oil markets following escalating geopolitical tensions in West Asia and disruptions around the Strait of Hormuz, a key oil shipping route. International oil prices have remained elevated in recent weeks, prompting oil companies to gradually pass on higher costs to consumers after months of price stability.

Monday’s revision marks the fourth increase in fuel prices since May 15, according to a Liveint report. Oil companies have previously announced ₹An increase of 3 per litre, followed by two smaller increases before the last revision.

After Monday’s hike, petrol is now at PSU pumps in Mumbai ₹111.21 per liter and diesel ₹97.83; petrol is expensive in Calcutta ₹113.51 and diesel ₹99.82. In Chennai, the price of petrol is per ₹108.01 and diesel at ₹99.55.

Prices vary by state due to local taxes.

Four increases in fuel prices since May 15

Fuel prices are almost unchanged from 2022, despite fluctuating international oil prices. But oil retailers resumed regular revisions earlier this month after oil prices surged on geopolitical uncertainties and supply concerns in the global energy market.

City industry analysts, according to Reuters, said public sector oil companies including Indian Oil Corporation, Bharat Petroleum Corporation Limited and Hindustan Petroleum Corporation Limited were trying to offset growing shortfalls caused by higher oil import costs and currency fluctuations.

According to Mint, the three state-owned retailers together account for nearly 90% of India’s fuel retail market. The report added that companies absorbed much of rising oil prices over the past few months before resuming price revisions this month.

Will there be further increases in fuel prices?

Madan Sabnavis, Chief Economist, Bank of Baroda, earlier told LiveMint that “given the losses incurred by OMCs, an increase in petrol and diesel prices was inevitable”.

He said further price hikes could follow as the current hike may not fully compensate OMCs for their losses.

Financial services company Emkay Global Financial Services estimates that petrol and diesel prices could rise by as much ₹10 per liter in the near future as oil companies try to offset the impact of increased global oil prices.