On August 27, 2026, petrol and diesel prices across India's major cities have shown remarkable stability, largely holding steady since a hike on May 25. State-owned Oil Marketing Companies (OMCs) had previously increased petrol prices by ₹2.61 per litre and diesel by ₹2.71 per litre.
This period of stable domestic fuel costs comes even as global oil prices settled lower last week. The global market saw some easing after the latest developments in the US-Iran situation, with hopes for the resumption of shipping via the Strait of Hormuz influencing prices.
Current Fuel Prices in Major Indian Cities
Residents in Delhi continue to pay over ₹100 per litre for petrol, with the rate standing at ₹102.12. Diesel in the capital is priced at ₹95.20 per litre. Mumbai sees even higher petrol costs, exceeding the ₹110 mark at ₹111.21 per litre, while diesel is ₹99.82 per litre.
Other significant urban centers, including Bengaluru, Hyderabad, and Kolkata, also report petrol prices above ₹110 per litre. Diesel remains below ₹100 in these cities, with the exception of Hyderabad, where it is priced at ₹103.82 per litre. Chennai's rates are ₹107.76 for petrol and ₹99.55 for diesel, while Bengaluru records ₹111.68 for petrol and ₹99.56 for diesel.
Here’s a snapshot of prices:
- Delhi: Petrol ₹102.12, Diesel ₹95.20
- Mumbai: Petrol ₹111.21, Diesel ₹99.82
- Hyderabad: Petrol ₹115.69, Diesel ₹103.82
- Kolkata: Petrol ₹113.51, Diesel ₹99.82
- Bengaluru: Petrol ₹111.68, Diesel ₹99.56
- Chennai: Petrol ₹107.76, Diesel ₹99.55
Factors Influencing Fuel Prices
A complex interplay of global, economic, and domestic factors determines the final price consumers pay at the pump. The most significant component is the international price of crude oil, which serves as the primary raw material for both petrol and diesel.
Another critical variable is the rupee-dollar exchange rate. As India heavily relies on imported crude, a weakening rupee against the dollar directly increases the cost of procurement, potentially leading to higher retail fuel prices.
Moreover, taxes levied by both the central and state governments constitute a substantial portion of the final retail price, which explains why fuel rates vary significantly across different states. Transportation costs and the prevailing demand-supply dynamics within specific regions also play a role in shaping the pump prices consumers encounter.