NEW DELHI: Nayara Energy has increased petrol prices by ₹5 per litre and diesel by ₹3 per litre, becoming the first major fuel retailer in India to pass on rising global oil costs to consumers, according to a report by Press Trust of India.
The move comes as fuel retailers grapple with higher input costs following a sharp rise in international crude oil prices linked to the ongoing conflict in West Asia.
Sources said Nayara, which operates nearly 7,000 fuel stations across the country, has adjusted retail prices to offset mounting cost pressures. The effective hike varies across states due to local taxes such as VAT, with petrol prices rising by up to ₹5.30 per litre in some regions.
In contrast, other private players like Jio-bp, which operates over 2,000 outlets, have so far kept prices unchanged despite reportedly incurring losses.
State-run oil marketing companies — Indian Oil Corporation, Bharat Petroleum Corporation Limited, and Hindustan Petroleum Corporation Limited — which control around 90 per cent of the fuel retail market, have also maintained existing prices.
Retail fuel prices in India have largely remained unchanged since April 2022, even as global crude prices surged. Oil prices jumped nearly 50 per cent after military strikes by the United States and Israel on Iran, leading to retaliatory actions and disruptions in supply chains.
International crude prices recently touched $119 per barrel before easing to around $100.
Sources indicated that private retailers do not receive government compensation for absorbing losses, unlike state-run firms, limiting their ability to hold prices amid rising costs.
India imports nearly 88 per cent of its crude oil requirements, with a significant portion passing through the Strait of Hormuz, where recent tensions have raised concerns over shipping safety and supply disruptions.
