Iran war impact: Private fuel retailers Shell, Nayara hike petrol, diesel prices
Shell and Nayara raise petrol, diesel steeply; crude above USD 100 keeps pressure on consumers while state firms hold rates
The prolonged closure of the Strait of Hormuz is now starting to hit consumers in India, with the price of two private oil companies, Nayara Energy and Shell India, hiking their petrol and diesel prices from April 1 even though state-owned oil companies continue to resist.
With crude oil prices remaining above USD 100 a barrel, the two private fuel retailers have hiked both petrol and diesel prices steeply.
Diesel dearer than petrol
While Shell petrol price has gone up by Rs 7.41 per litre in Bengaluru, diesel has become dearer by a whopping Rs 25.01 per litre.
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The standard petrol variant in Bengaluru is now priced at Rs 119.85 and the premium variant is Rs 129.85 per litre. The standard diesel variant now costs Rs 123.52 and the premium Rs 133.52 per litre. This comes after a smaller price hike of Rs 2–2.50 per litre by Shell two weeks ago.
Nayara Energy hiked petrol and diesel prices even earlier, on March 27, by Rs 5 and Rs 3 per litre, respectively. In Maharashtra, Nayara petrol now costs Rs 108.82 per litre and diesel Rs 93.09.
Day of price hikes
This comes on a day when aviation turbine fuel (jet fuel) prices more than doubled to a record Rs 2.07 lakh per kilolitre. Alongside, the rate of commercial LPG was increased by Rs 195.50 per 19-kg cylinder to cost more than Rs 2,000. Domestic LPG prices have already climbed by Rs 60.
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The West Asia war, now in its second month, has hit global oil markets hard. India imports nearly 88 per cent of its crude oil, and while it has been sourcing a lot of crude from Russia and elsewhere, that will not be enough to compensate for Gulf oil. If the war continues, prices will rise further.