State‑run oil marketing companies have kept petrol and diesel prices unchanged on July 16, as fuel rates remain at the levels set after the late‑May hike. This means motorists across major metros are paying the same prices as in recent weeks, even as global crude markets stay volatile.
Indian Oil, Bharat Petroleum and Hindustan Petroleum continue to follow the daily dynamic pricing system, under which pump rates can be adjusted every morning based on global crude prices and currency movements.
Last week, Oil Minister Hardeep Singh Puri suggested that reducing local fuel costs is not an option at this time. Even Bank of America noted that petrol and diesel prices are unlikely to see an immediate cut even as India’s retail inflation has climbed above the Reserve Bank of India’s 4% target for the first time in 17 months.
Fuel prices in the nation have escalated four times over the last four months amid the Iran war, increasing by about Rs 7.5-8 per litre during the period.
Petrol prices on July 16
- Petrol price in Delhi: Rs 102.12/litre
- Petrol price in Kolkata: Rs 113.43/litre
- Petrol price in Mumbai: Rs 111.12/litre
- Petrol price in Chennai: Rs 107.75/litre
- Petrol price in Hyderabad: Rs 115.69/litre
- Petrol price in Bengaluru: Rs 110.93/litre
Diesel prices on July 16
- Diesel price in Delhi: Rs 95.20/litre
- Diesel price in Kolkata: Rs 99.78/litre
- Diesel price in Mumbai: Rs 97.78 litre
- Diesel price in Chennai: Rs 99.57/litre
- Diesel price in Hyderabad: 103.82/litre
- Diesel price in Bengaluru: 98.79/litre
However, India has increased windfall taxes on exports of diesel and aviation turbine fuel (ATF) and lowered the levy on petrol exports, reflecting the recent rebound in global crude oil prices. The revised duties, announced through a Finance Ministry notification, will take effect from July 16.
Export duty on diesel has been raised to Rs 15.5 per litre from Rs 8.5 per litre, while the levy on ATF exports has been increased to Rs 14.5 per litre from Rs 7.5 per litre. The duty on petrol exports, however, has been reduced to Rs 2.5 per litre from Rs 4 per litre.
Global Crude Prices
Oil prices climbed for a fourth consecutive session on Thursday as escalating military action between the United States and Iran kept traders focused on the risk of supply disruptions through the Strait of Hormuz, one of the world’s most important energy corridors.
Global benchmark Brent crude traded near $85 a barrel, after rallying about 12% over the previous three sessions, while West Texas Intermediate (WTI) hovered around $80 a barrel.
The latest gains came after the United States launched another round of airstrikes on Iran, saying it had also disabled an unladen oil tanker headed for an Iranian port. The renewed military action has reinforced fears that tensions in the region could further disrupt the movement of crude from the Middle East.
What Moves Petrol And Diesel Prices?
While international crude rates are the biggest factor for fuel prices in India, they aren’t the only ones. Taxes, freight costs, refining margins, and the rupee-dollar exchange rate also play a key role in determining what you pay at the pump.
The Centre recently revised export duties on petroleum products. The change, however, does not impact retail fuel prices in India.