Premium Petrol Prices Hiked Amid West Asia Tensions, Regular Fuel Rates Unchanged

New Delhi, March 2026 : State-run oil marketing companies have increased the prices of premium petrol variants by around Rs 2 per litre, effective Friday, following a surge in global crude oil prices driven by escalating geopolitical tensions in West Asia.

Leading public sector firms such as Hindustan Petroleum Corporation Limited and Indian Oil Corporation Limited have revised the prices of their high-end petrol offerings, with the hike ranging between Rs 2.09 and Rs 2.35 per litre.

As a result, the retail price of branded fuels like Power petrol and XP95 has risen from approximately Rs 111.68 per litre to about Rs 113.77 per litre in key markets. These premium fuels, typically preferred for high-performance vehicles, are more sensitive to fluctuations in global crude rates.

Despite the increase in premium petrol prices, oil companies have kept the prices of regular petrol and diesel unchanged. This decision comes as a relief for the general public, who continue to face inflationary pressures in other sectors.

The revision in premium fuel prices coincides with heightened volatility in international oil markets. On March 19, crude oil prices surged by over 4 per cent following attacks on critical energy infrastructure in West Asia. Benchmark Brent crude prices climbed to around $111.78 per barrel, while West Texas Intermediate (WTI) rose to nearly $99.57 per barrel.

The spike in prices was triggered by reports of Israel launching strikes on South Pars Gas Field in Iran—the world’s largest gas field—followed by Iran’s retaliatory actions targeting Ras Laffan Industrial City in Qatar, a major global energy hub.

These developments have intensified concerns over global energy security, with analysts warning that any prolonged disruption in the Gulf region could severely impact oil supply chains and push prices higher.

India, which depends on imports for nearly 90 per cent of its crude oil requirements, remains particularly vulnerable to such global shocks. The current increase in premium petrol prices is seen as an early response to rising international crude costs, even as companies continue to shield consumers from broader fuel price hikes.

Industry experts caution that if geopolitical tensions persist and crude prices remain elevated, domestic fuel prices—especially petrol and diesel—may face upward revisions in the coming weeks.