State-run fuel retailers on Saturday raised petrol and diesel prices by less than Rs 1 per litre, dealers said, marking the third hike this month as the government seeks to offset losses stemming from elevated crude oil prices amid the Iran conflict, Reuters reported.
Price Increase Details
In New Delhi, petrol prices were increased by Rs 0.87 per litre to Rs 99.51, while diesel prices rose by Rs 0.91 to Rs 92.49 per litre, according to dealers. This marks the third price hike in October, following earlier increases that have pushed petrol closer to the Rs 100 per litre mark.
Impact on Consumers
The consecutive hikes have added to the financial burden on consumers, with petrol prices inching towards the psychologically significant Rs 100 level. Diesel prices have also seen a steady rise, impacting transportation and logistics costs across the country.
Reasons Behind the Hike
The price revision is attributed to the ongoing Iran conflict, which has led to elevated crude oil prices globally. The government and state-run oil marketing companies are adjusting retail prices to recover losses incurred due to the gap between international crude costs and domestic selling prices.
Analysts suggest that further hikes may be on the horizon if crude oil prices remain high. The government is balancing the need to pass on global price increases to consumers while minimizing the impact on inflation and economic recovery.
