FUEL SHOCK: PETROL BREACHES ₹100 MARK IN DELHI AS MIDDLE EAST CRISIS TRIGGERS FOURTH HIKE IN 11 DAYS

Delhi Fuel Shock: Petrol Crosses ₹100 As New Hike Hits Pumps

Fuel rates jump by over ₹2 per litre in Delhi. Rates cross the century mark due to supply issues from the Iran war.

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Fuel prices just took a sharp jump for Indian consumers. Specifically, state oil firms raised retail prices for the fourth time in 11 days. This happens as the Iran war creates tight oil supplies. Consequently, petrol in Delhi rose by ₹2.61 on Monday. The price now stands at ₹102.12 per litre.

In addition, diesel prices rose by ₹2.71. This brings the new diesel rate in Delhi to ₹95.20 per litre. These quick hikes follow four years of stable energy prices in India. For instance, the government cut rates before the 2024 elections. However, the current war in the Middle East forces local firms to pass on these costs.

City Wise Breakdown: New Petrol and Diesel Rates

The new prices vary across Indian cities. This happens because each state charges a different tax rate. As a result, consumers face different prices depending on their location:

Interestingly, global Brent crude fell below $100 a barrel on the exact same day. This drop seems to contradict our rising pump prices. However, local oil firms have a clear explanation. They absorbed huge losses for weeks to protect buyers. Therefore, this hike helps them recover their cash balance.

Why Are Pump Prices Rising Now?

The main issue stems from the Strait of Hormuz. For example, major local suppliers like IOCL, BPCL, and HPCL face high risk along this sea route. Since tankers cannot cross safely, firms must pay more for oil. Consequently, keeping old prices became too costly for them.

Furthermore, these hikes will soon impact daily store bills. Because trucks use diesel to transport goods, freight costs will go up. For instance, prices for basic foods like milk and bread are already climbing. To make matters worse, CNG rates in Delhi also rose by ₹1 over the weekend to reach ₹81.09 per kg.

💬 Expert View: What Lies Ahead

“These rate hikes give partial relief to oil firms. However, it does not solve the whole problem. Even if the war stops, shipping risks will take time to fade. Crude will likely stay above $90 a barrel. This pressures local firms, so more small price changes may come soon.” — Sourav Mitra, Partner, Grant Thornton Bharat