Stable Fuel Prices Across Major Indian Cities
On October 1, 2026, commuters across India saw largely stable petrol and diesel prices. The national average for petrol stood at ₹111.21 per litre, while diesel was priced at ₹97.83 per litre. This stability comes despite continued volatility in the international crude market.
Global oil prices have seen a slight dip, with Brent crude recorded at $97.39 per barrel and WTI crude at $89.60 per barrel. This reduction is attributed to indications of increased supply from the Middle East, particularly after Saudi Arabia resumed flows through a pipeline that bypasses the Strait of Hormuz, easing some supply concerns.
State Refiners Face Financial Squeeze
Despite the stable retail rates at the pumps, India's state-run oil marketing companies are experiencing a significant financial strain. A widening gap between rising crude import costs and stagnant domestic retail prices is eroding their retail margins.
According to rating agency ICRA, these fuel retailers are losing approximately ₹530 crore every day. This is because pump prices for petrol, diesel, and cooking gas have not been adjusted to reflect the upward trajectory of international crude, forcing refiners to absorb the full impact of the price surge.
City-Specific Fuel Rates (October 1, 2026)
Here are the latest petrol and diesel prices in major Indian metropolitan areas:
- Mumbai: Petrol ₹111.21/L, Diesel ₹97.83/L
- Delhi: Petrol ₹102.12/L, Diesel ₹95.20/L
- Kolkata: Petrol ₹113.51/L, Diesel ₹99.82/L
- Chennai: Petrol ₹107.76/L, Diesel ₹99.55/L
- Bengaluru: Petrol ₹111.68/L, Diesel ₹99.56/L
- Hyderabad: Petrol ₹116.15/L, Diesel ₹104.23/L
Why Fuel Prices Vary Across India
Fuel prices are not uniform across the country due to several factors. The primary reasons for these differences include varying local state taxes, transportation charges, and dealer commissions. While the base price of petrol or diesel from oil refineries is consistent nationwide, local variables significantly influence the final retail price.
Both central and state governments levy taxes that constitute a substantial portion of the final price consumers pay. Additionally, the rupee-dollar exchange rate plays a crucial role, as India heavily relies on imported crude. A weaker rupee increases the cost of crude procurement, potentially leading to higher retail fuel prices.