Petrol Prices Surge Across India: Delhi at ₹97.77, Mumbai Crosses ₹106
Petrol and diesel prices in India have risen sharply by ₹3 per litre as of mid-May 2026, driven by global crude oil crossing $120 per barrel amid geopolitical tensions. In Delhi, petrol now costs ₹97.77 and diesel ₹90.67, while Mumbai records among the highest rates at ₹106.68 for petrol. Other metros like Chennai, Kolkata, and Hyderabad also report steep hikes. The increase is expected to impact transport fares, household budgets, and commodity prices nationwide. CNG rates have also climbed above ₹80/kg in Delhi, adding further strain. With fuel prices under daily revision, consumers are bracing for continued volatility in the coming weeks.
Why the Hike?
Global crude oil prices crossed $120 per barrel amid geopolitical tensions in West Asia (Iran–Israel conflict, Strait of Hormuz disruptions).
India, which imports most of its crude oil, faces direct cost pressure on domestic fuel retailers.
Oil marketing companies revised rates to offset losses, leading to the ₹3 hike nationwide.
Impact on Consumers
Transport costs rising: Auto, taxi, and logistics services are expected to increase fares.
Household budgets strained: Higher fuel costs ripple into food and commodity prices.
CNG also affected: In Delhi, CNG now retails above ₹80/kg after two hikes in 48 hours.
Risks & Trade-offs
Inflationary pressure: Essential goods and services may see price hikes.
Regional disparities: States with higher VAT (e.g., Maharashtra, Kerala) record significantly higher rates.
Policy response: The government has imposed a windfall tax of ₹3/litre on petrol exports, while reducing duties on diesel and aviation fuel.