Fuel Prices Surge Again; ₹120/Litre Fear Grows

Petrol Diesel Price Hike India | India is once again staring at a fresh fuel price crisis as petrol and diesel rates continue to rise across major cities, triggering fears that prices could eventually touch ₹120 per litre. The latest hike of nearly 90 paise per litre on Tuesday has intensified concerns among citizens already struggling with inflation and rising household expenses.

This marks the second fuel price increase within just five days. Earlier on May 15, oil marketing companies raised petrol and diesel prices by nearly ₹3 per litre after almost four years. Now, another sharp revision has added further pressure on commuters, transporters and businesses dependent on fuel.

Following the latest revision, petrol in Delhi has climbed to ₹98.64 per litre, while diesel now costs ₹91.58 per litre. In Mumbai, petrol has surged to ₹107.59 per litre and diesel to ₹94.08 per litre, pushing fuel costs dangerously close to record levels.

An Indian Oil Corporation (IOCL) senior official indicated that oil companies are deliberately increasing prices in phases instead of imposing a sudden burden on consumers. According to the official, “We want to provide maximum possible relief to consumers. Therefore, we are not considering a one-time hike in fuel prices. Looking at the global situation, some level of increase has become necessary.”

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However, the official also clarified that the final extent of the price hike has not yet been decided and the decision will be taken at a higher level. This statement has sparked widespread speculation that fuel prices may continue rising in the coming weeks.

Oil companies have blamed escalating crude oil prices caused by tensions in West Asia, conflict situations in the Middle East and uncertainty around the Strait of Hormuz. Industry experts warn that if global crude prices remain unstable, Indian consumers may face continued fuel hikes throughout the summer season.

The current situation has revived memories of 2022, when petrol and diesel prices were increased continuously for 13 consecutive days during the Russia-Ukraine war. At that time, fuel prices jumped by nearly ₹10 within just 15 days.

Although oil company officials insist that the present scenario is different from 2022, they have not ruled out the possibility of phased price hikes in the near future. This has created anxiety among middle-class families and small businesses already battling rising living costs.

Economists warn that increasing fuel prices could directly fuel inflation across sectors. Higher transportation costs often lead to price hikes in food grains, essential commodities and public services, affecting the common citizen at every level.