Fuel Retailers Face Significant Losses Amid Ongoing West Asia Crisis
Fuel retailers losing Rs20/litre on petrol, Rs100 on diesel as Iran war drags on
Hindustan Times
Image: Hindustan Times
Fuel retailers in India are currently losing ₹20 per litre on petrol and ₹100 per litre on diesel due to the ongoing crisis in West Asia, which has caused oil prices to surge. The government is maintaining current pump prices to shield consumers, but industry experts warn that this may not be sustainable if the crisis continues.
- 01Fuel retailers are incurring losses of ₹20 per litre on petrol and ₹100 on diesel.
- 02International oil prices have surged to over $103 per barrel amid the West Asia crisis.
- 03The Indian government is currently regulating fuel prices to protect consumers.
- 04Experts predict potential price hikes after the assembly elections on April 29 if oil volatility persists.
- 05The government recently reduced excise duties on fuels to compensate for losses.
Advertisement
In-Article Ad
Fuel retailers in India are facing substantial losses, with state-run companies losing ₹20 per litre on petrol and ₹100 per litre on diesel due to the ongoing crisis in West Asia. As international oil prices have risen sharply, reaching over $103 per barrel, the government has opted to maintain current pump prices to shield consumers from the volatility. This decision, however, may not be sustainable if the crisis continues, prompting experts to anticipate that oil companies might pass on some of their losses to consumers after the assembly elections, which conclude on April 29. The petroleum ministry clarified that there are no immediate plans to raise prices significantly, countering rumors of potential hikes of ₹25-28 per litre. To mitigate the financial impact on oil marketing companies (OMCs), the government recently reduced excise duties on petrol and diesel by ₹10 per litre each and imposed levies on exports of diesel and aviation turbine fuel (ATF) to ensure domestic fuel supplies remain stable.
Advertisement
In-Article Ad
Consumers in India may face increased fuel prices if the current losses for retailers persist, impacting transportation costs and overall expenses.
Advertisement
In-Article Ad
Reader Poll
Do you think the government should allow fuel prices to be determined by the market?
Connecting to poll...
Read the original article
Visit the source for the complete story.

