Fuel prices increase ₹7.5 after fourth hike, Pg1

Key Highlights:

• Fuel prices increased by ₹2.7-₹2.8 per litre on Monday, marking the fourth hike in 10 days.
• Retail fuel prices have risen by approximately ₹7.5 per litre since May 15, 2026.
• Petrol price in Delhi exceeded ₹100 per litre, a level last seen in May 2022.
• OMCs are incurring losses of slightly less than ₹600 crore per day from the sale of LPG, petrol and diesel.

Detailed Insights:

• The Centre is estimated to take a revenue hit of more than ₹1 lakh crore in 2026 due to reduced Central excise duty on fuels.
• OMCs withheld the pressure of high crude oil prices due to the conflict in West Asia for about three months before increasing prices from May 15, 2026.
• Petrol price rose the highest in Kolkata by ₹2.87 per litre, while diesel saw the highest increase in Mumbai by ₹2.81 per litre.
• The increase in fuel prices is attributed to the ongoing conflict in West Asia, leading to high crude oil prices.

Key Concepts Involved:

• OMCs (Oil Marketing Companies): Companies responsible for the refining, distribution, and marketing of petroleum products.
• Central Excise Duty: An indirect tax levied by the central government on goods manufactured within the country.