Premium petrol price hike: The ripple effects of global geopolitical tensions are being felt in India, as the premium petrol prices surged by 2% on Friday. Meanwhile, the prices of the regular fuel remain unchanged. The revision will be effective from Friday itself, and comes amid escalating disruptions in international energy supplies triggered by the ongoing conflict in West Asia. Price stands at Rs 2.35/litre now
Several oil marketing companies have hiked the prices of high-octane petrol variants such as Indian Oil’s XP95, BPCL’s speed and HPCL’s power by Rs 2.09 to Rs 2.35 per litre. However, as a partial relief to the common man, the commonly used petrol and diesel prices have not been altered. [caption id="attachment_1347" align="alignnone" width="1200"]
Representative image[/caption]Govt clarifies impact remains limited
Sujata Sharma, Joint Secretary in the Ministry of Petroleum and Natural Gas, addressed concerns over a broader fuel price surge. She informed that the increase remains confined to premium fuels, which constitute a small fraction of the total petrol consumption (2-4%). During an inter-ministerial briefing, she reiterated that the fuel prices in India are deregulated.
Premium petrol price hike: West Asia conflict drives surge globally
Volatility heightened in global oil markets after the US and Israel conducted joint strikes on Iran, triggering a sharp escalation in the region. The situation resulted in disruption of critical supply routes, particularly the Strait of Hormuz, a key passage for global oil shipments.
[caption id="attachment_1348" align="alignnone" width="1200"]
Representative image[/caption]Amid this, International benchmark Brent crude surged above $100 per barrel, while European gas prices surged following reported attacks on Qatar’s Ras Laffan LNG facility.
Import costs rise for India as Rupee tumbles down against Dollar
The increased import costs for India are attributed to the rising crude oil prices, coupled with the weakening Indian rupee against the US dollar. Consequently, the oil companies appear to have opted for selective hikes in premium petrol, avoiding a broader increase that could impact millions of consumers. Meanwhile, industry representatives have confirmed the revised rates across select cities, signalling a cautious yet strategic response to global energy uncertainties.