New Delhi, May 15 (JKNS): In a major blow to consumers, oil marketing companies on Friday increased petrol and diesel prices by ₹3 per litre each, marking the first fuel price hike for retail consumers in the last four years amid a sharp surge in global crude oil prices triggered by the ongoing Iran-West Asia conflict.
Details available with news agency JKNS stated that, with the latest revision, petrol in Delhi will now cost ₹97.77 per litre, while diesel has risen to ₹99.67 per litre. The revised rates came into effect from May 15. Alongside petrol and diesel, the price of Compressed Natural Gas (CNG) has also been increased by ₹2 per kilogram in Delhi, taking the rate from ₹77.09 per kg to ₹79.09 per kg.
According to reports, India’s major oil marketing companies had initially attempted to absorb the impact of rising international crude prices after the war in West Asia began on February 28. However, the continued spike in global oil rates reportedly forced the companies to pass part of the burden onto consumers.
The basket of crude oil imported by India averaged around $69 per barrel in February before the conflict escalated. Since then, international crude prices have surged by more than 50 percent, with the average import basket rising to nearly $113–114 per barrel in subsequent months.
Several economists, including Arvind Panagariya, had earlier stated that domestic fuel prices should be revised in line with rising international crude prices to prevent mounting losses for oil companies.
Amid the global energy crisis, Prime Minister Narendra Modi recently appealed to citizens to conserve fuel and adopt work-from-home practices wherever possible to reduce fuel consumption and help save the country’s foreign exchange reserves.
Supporting the Prime Minister’s appeal, the Delhi Government led by Chief Minister Rekha Gupta launched a 90-day public awareness campaign aimed at encouraging fuel conservation and reducing dependence on imported energy. The Delhi Government also announced two days of work-from-home for government offices as part of the initiative.
Officials have maintained that despite volatility in international markets, India currently has nearly 60 days of fuel reserves and around 45 days of LPG stock available, while the Centre has repeatedly assured that there is no fuel shortage in the country. (JKNS)
