OMCs Hike Premium Petrol By Up To ₹2.35/L, IOC Raises Industrial Fuel Price By 25%

Oil marketing companies (OMCs) increased prices of premium petrol variants by ₹2.09 to ₹2.35 per litre, effective March 20, while Indian Oil Corporation raised industrial fuel prices by nearly 25% to ₹109.59 per litre from ₹87.67 per litre, according to official data.

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Premium Petrol Prices Revised

The price hike applies to high-octane petrol variants including BPCL’s Speed, HPCL’s Power, and IOCL’s XP95. Such fuels are normally used in vehicles that require higher engine performance and mileage.

The increase in the price of premium petrol contributes a small share to the overall consumption of fuel, and the premium segment accounts for only 3-4% of the overall petrol consumption. Regular petrol prices have not been revised and remain unchanged across markets.

Industrial Fuel Prices Increased

Indian Oil Corporation implemented a price increase of about ₹22 per litre on industrial fuel, taking the revised rate to ₹109.59 per litre. The earlier price stood at ₹87.67 per litre, reflecting an increase of approximately 25%, according to company data.

Global Crude Oil Prices Continue to be High

The adjustment in fuel prices is occurring alongside a significant increase in global crude oil prices, a development tied to geopolitical unrest in West Asia. India’s crude oil basket rose to $156.29 per barrel on March 19, according to official data.

Benchmark Brent crude oil futures have been trading above $100 per barrel during the week. It is currently trading at $108.26 per barrel as of March 20. U.S. West Texas Intermediate oil futures are trading at $95.27 per barrel, according to Reuters.

Supply Concerns And Market Developments

Global oil markets have been impacted by disruptions to energy infrastructure and concerns over supply routes. Efforts to stabilise supply include proposals to secure shipping through key transit points and potential measures to increase oil availability, according to Reuters.

Weekly Trend In Oil Prices

For the week, Brent crude was on track to rise nearly 5% following disruptions to oil and gas facilities in the Gulf region, which affected production levels.

The changes in premium petrol and industrial fuel prices reflect adjustments in select fuel segments amid elevated global crude oil prices, while regular petrol rates remain unchanged.