India
oi-Prakash KL
The Rs 3 per litre hike in petrol and diesel prices, the first national revision in years, has redrawn the map of energy costs across India. While the Centre points to the West Asia conflict and the blockade of the Strait of Hormuz as the primary catalysts, the impact on your wallet depends entirely on which state line you’re standing behind.
The “Costliest” Leaderboard
As of Friday, May 15, 2026, the southern states and Rajasthan have emerged as the most expensive regions for motorists. High local VAT (Value Added Tax) and freight charges have pushed prices in these areas well above the national average.
On May 15, 2026, India implemented a Rs 3 per litre petrol and diesel price hike, citing the West Asia conflict; prices vary by state, with Hyderabad and Thiruvananthapuram becoming the costliest at over Rs 110 per litre for petrol.
Top 5 Most Expensive States and Cities (Petrol)
| Rank | City | New Rate (Rs/Litre) | Hike |
|---|---|---|---|
| 1 | Hyderabad | Rs 110.89 | +Rs 3.39 |
| 2 | Thiruvananthapuram | Rs 110.75 | +Rs 3.37 |
| 3 | Kolkata | Rs 108.74 | +Rs 3.29 |
| 4 | Patna | Rs 108.55 | +Rs 3.01 |
| 5 | Jaipur | Rs 108.19 | +Rs 3.16 |
Top 5 Most Expensive States and Cities (Diesel)
| Rank | City | New Rate (Rs/Litre) | Hike |
|---|---|---|---|
| 1 | Thiruvananthapuram | Rs 99.63 | +Rs 3.37 |
| 2 | Hyderabad | Rs 98.96 | +Rs 3.26 |
| 3 | Bhubaneswar | Rs 96.11 | +Rs 3.56 |
| 4 | Chennai | Rs 95.47 | +Rs 3.08 |
| 5 | Kolkata | Rs 95.13 | +Rs 3.11 |
Regional Breakdown: Winners and Losers
While the price hike was a flat Rs 3 at the base level, local levies mean the actual “pinch” at the pump varies significantly.
The South Premium: Residents in Hyderabad and Thiruvananthapuram are now paying the highest rates in the country, with both cities crossing the Rs 110 mark.
The Metro Gap: There is now an Rs 13.12 difference between a litre of petrol in New Delhi (Rs 97.77) and Hyderabad (Rs 110.89).
Diesel Distinctions: Thiruvananthapuram holds the unenviable title for the costliest diesel at Rs 99.63, nearly touching the century mark, followed closely by Hyderabad at Rs 98.96.
Relative Relief: Chandigarh remains one of the most affordable territories, with petrol at Rs 97.27 and diesel at Rs 85.25.
Why the Surge?
The Ministry of Petroleum and Natural Gas attributes the hike to the US-Israel-Iran conflict that erupted on February 28, 2026. With Brent crude hovering over $100 per barrel, Indian Oil Marketing Companies (OMCs) were reportedly absorbing losses of nearly Rs 1,000 crore per day before this correction.
“India ensured seamless availability… despite sharp global volatility,” stated Union Minister Hardeep Singh Puri, emphasizing that while prices have risen, the government’s priority remains preventing fuel shortages or rationing.
The ongoing maritime blockade in the Strait of Hormuz has choked a vital artery for global oil shipments. While India maintains that its 60-day national fuel stock is stable, the price adjustment is seen as a move to keep OMCs financially viable as under-recoveries mount.
