Petrol, Diesel prices hiked for third time: Check latest fuel rates in Delhi, Mumbai, Bengaluru on 23 May

Petrol and diesel prices were hiked for the third time in less than 10 days on Saturday (23 May). State-run oil marketing companies increased Petrol prices by 87 paise and Diesel prices 91 paise per litre amid rising global crude oil prices, according to Reuters.

Following the latest revision, petrol in Delhi now costs ₹98.64 per litre, while diesel is priced at ₹92.49 per litre, Reuters reported. The fresh increase comes after fuel retailers had already raised prices twice earlier this month, ending a long period of relative stability in retail fuel rates.

City-wise petrol prices

City-wise diesel prices today

Oil companies had first announced a ₹3 per litre increase in petrol and diesel prices on May 15, marking the first major hike in nearly four years, according to Reuters. A second revision followed earlier this week before Saturday’s increase pushed prices even higher across major cities.

The repeated hikes come as global crude oil prices continue to remain elevated due to geopolitical tensions in West Asia and concerns over supply disruptions. Reuters reported that Brent crude prices have risen sharply in recent weeks, increasing pressure on fuel retailers that had reportedly been absorbing losses while keeping domestic prices unchanged for several months.

According to The Economic Times, Indian oil marketing companies were facing under-recoveries because international crude oil prices had surged while domestic fuel rates remained largely frozen. The recent increases are being seen as an attempt to gradually align retail fuel prices with global market conditions rather than implementing a single steep hike.

Impact on consumers

The latest revision is expected to increase transportation and logistics costs across the country, particularly as diesel plays a key role in freight movement and agricultural operations. Economists cited by The Economic Times warned that sustained fuel price increases could eventually feed into retail inflation by raising the cost of goods and services.

Fuel prices continue to vary across states because of differences in local VAT rates and other levies imposed by state governments. Mumbai, Chennai and Kolkata continue to record higher fuel prices compared to Delhi, according to Indian Oil Corporation’s latest fuel price data.

The latest hike also comes at a time when households are already dealing with elevated food prices and higher living costs. Opposition parties have criticised the repeated increases, accusing the government of failing to shield consumers from rising global oil prices, PTI reported.

Meanwhile, industry analysts told Reuters that further revisions could depend on the movement of international crude oil prices in the coming weeks. Any escalation in geopolitical tensions or disruptions to oil supply chains could add further pressure on domestic fuel prices.

India imports more than 80 per cent of its crude oil requirements, making domestic fuel prices highly sensitive to fluctuations in the global energy market and changes in currency exchange rates, according to data from the Petroleum Planning and Analysis Cell.

With the latest increase, petrol prices in several cities are now nearing or crossing the ₹100 per litre mark again, reviving concerns over inflationary pressures and the impact on consumer spending.