Fuel prices across India saw little to no change on July 16, 2026, maintaining the stability observed since May 25. This comes as global oil prices settled lower last week, influenced by hopes for resumed shipping through the Strait of Hormuz following a recent round of US-Iran conflict.
Current Fuel Rates in Major Indian Cities
As of July 16, 2026, petrol and diesel rates continue to hover around their previous levels. Brent crude futures were recorded at $76.01 per barrel, a slight decrease of 0.38%, significantly below the late-April peak of over $120 per barrel when the Hormuz closure initially impacted global energy markets.
State-owned Oil Marketing Companies (OMCs) last adjusted prices on May 25, when petrol saw a hike of ₹2.61 per litre and diesel increased by ₹2.71 per litre.
- Delhi: Petrol is priced at ₹102.12 per litre, and diesel at ₹95.20 per litre.
- Mumbai: Petrol remains above the ₹110 mark at ₹111.21 per litre, with diesel at ₹97.83 per litre.
- Hyderabad: Petrol costs ₹115.69 per litre, and diesel is ₹103.82 per litre.
- Kolkata: Consumers pay ₹113.48 for petrol and ₹99.82 for diesel per litre.
- Bengaluru: Petrol is ₹111.37 per litre, and diesel is ₹99.26 per litre.
- Chennai: Petrol is available at ₹107.78 per litre, and diesel at ₹99.56 per litre.
Factors Influencing Fuel Prices in India
Retail fuel prices in India are shaped by a complex interplay of global, economic, and domestic factors:
- International Crude Oil Prices: The primary determinant is the global price of crude oil, as India heavily relies on imports for its energy needs.
- Rupee-Dollar Exchange Rate: Fluctuations in the Indian Rupee's value against the US Dollar directly impact the cost of crude oil imports. A weaker rupee makes imports more expensive.
- Government Taxes: Both central and state governments levy significant taxes on petrol and diesel, contributing substantially to the final retail price. This is a key reason for price variations across different states.
- Transportation Costs: The cost of transporting fuel from refineries to distribution points and then to retail outlets also adds to the final price.
- Demand-Supply Dynamics: Local demand and supply conditions can also play a role in minor price adjustments.