HPCL hikes premium petrol prices by ₹2/litre in Delhi, sources say

Hindustan Petroleum Corporation has increased prices of its premium petrol variant in Delhi by a little over ₹2 per litre, sources told CNBC-TV18, even as regular petrol prices remain unchanged.

In the national capital, the price of premium petrol has been revised from ₹99.87 to ₹101.89 per litre. However, there has been no change in the price of normal petrol, which continues to be sold at existing rates.

Sources added that these are Delhi-specific prices, and rates in other cities and states will be higher or lower depending on local taxes and prevailing fuel prices.

The move comes amid elevated crude oil prices and rising input costs linked to ongoing tensions in West Asia. The hike is expected to impact consumers using high-octane or premium petrol variants, which are typically preferred for better engine performance and efficiency.

The reason for the increase has not been officially disclosed.

India’s crude import costs have surged sharply in recent days, adding to the pressure on downstream fuel retailers. The average price of the Indian crude basket rose to $146.09 per barrel on March 17, up over 111% from February levels, amid supply concerns linked to disruptions around the Strait of Hormuz.

According to analysts, current crude levels are well above sustainable thresholds for OMCs. A report by Elara Capital noted that crude above $110 per barrel could significantly compress margins, with petrol and diesel margins potentially falling by over ₹6 per litre, while LPG under-recoveries could widen materially.

Despite the cost pressures, retail prices of regular fuels have largely remained unchanged so far, with OMCs absorbing the impact. Market reaction in OMC stocks remained mixed, with Indian Oil Corporation up 2.24%, Bharat Petroleum Corporation gaining 1%, and Hindustan Petroleum Corporation rising 4%.