India
oi-Oneindia Staff
Consumers in India are now staring at what economists are calling a “quad-fuel shock” – an unprecedented simultaneous surge across petrol, diesel, CNG and LPG that has not been seen in recent past. The trigger: a sharp spike in global crude oil prices above $100 per barrel, compounded by Iran’s closure of the Strait of Hormuz following US-Israeli airstrikes, sending energy markets into a tailspin.
India faces a “quad-fuel shock” due to simultaneous surges in petrol, diesel, CNG, and LPG prices, triggered by high global crude oil rates and Middle East tensions closing the Strait of Hormuz. Recent hikes include petrol exceeding ₹100/litre in Delhi, double CNG price increases in 48 hours, and significant LPG cost rises, affecting millions.
PETROL & DIESEL: Fourth Hike in Ten Days
Fuel prices in India rose for the fourth time in ten days on Monday, with petrol hiked by Rs 2.61 per litre and diesel by Rs 2.71, as state-run oil marketing companies implement phased increases to offset persistent revenue losses.
In New Delhi, the retail price of petrol has climbed to Rs 102.12 per litre, while diesel now stands at Rs 95.20. In Kolkata, petrol has surged to Rs 113.51 per litre, with diesel at Rs 99.82. Mumbai saw petrol rise to Rs 111.21 per litre, while diesel hit Rs 97.83. In Chennai, petrol retails at Rs 107.77 and diesel at Rs 99.55.
Petrol has now crossed the Rs 100 mark in Delhi and is touching Rs 110 and above in southern and eastern metros. In Bengaluru, prices have breached Rs 110 per litre.
The Centre has maintained that there is no shortage of fuel in the country and that India has adequate reserves to manage the ongoing global crisis. Union Petroleum Minister Hardeep Singh Puri has stated that prolonged high crude prices could significantly increase losses for oil marketing companies if retail prices are not revised periodically.
CNG: Double Hike in 48 Hours
Ditto for CNG prices. The prices in Delhi-NCR for compressed natural gas were raised by Re 1 per kg on May 17, coming barely two days after a Rs 2 per kg increase on May 15. In Delhi, CNG now costs Rs 80.09 per kg, while prices in Noida and Ghaziabad increased to Rs 88.70 per kg.
The back-to-back CNG hike, alongside a sharp rise in petrol and diesel prices, is creating what many consumers are calling a “triple fuel shock” for the national capital. The combined increase is expected to affect millions of daily commuters, transport operators, delivery services, and middle-class households already struggling with high living costs.
The impact extends beyond individual vehicles. Many private school vans and buses in Delhi-NCR operate on CNG, and transport contractors are expected to revise monthly charges if prices remain elevated. Middle-class households are expected to face Rs 300-800 extra monthly in fuel and transport costs depending on vehicle usage and commuting distance.
LPG: Kitchen Fire Gets Costlier
The cooking gas story has two distinct tracks – domestic and commercial – and both are moving sharply upward.
On the domestic 14.2 kg cylinder front, oil marketing companies hiked the price of non-subsidised domestic LPG by Rs 60 per cylinder on March 7, taking the rate from Rs 853 to Rs 913 in Delhi. Mumbai’s rate moved to Rs 912.50, Kolkata to Rs 939, and Chennai to Rs 928.50. Indian Oil kept the 14.2 kg domestic LPG price unchanged from May 1, offering relief to around 33 crore users.
Commercial cylinders, however, tell a far grimmer story. The price of a 19-kg commercial LPG cylinder was sharply increased by an average of Rs 993 from May 1. In Delhi, the cost jumped from Rs 2,078.50 to Rs 3,071.50, while in Mumbai it rose from Rs 2,031 to Rs 3,024.
Indian oil companies have increased LPG prices to an extraordinary level since the US-Israel-Iran war began in late February 2026. The biggest hike was in Kolkata – Rs 1,147 from May 1 – followed by Mumbai at Rs 1,015.50, Chennai at Rs 1,013, and Delhi at Rs 993.
The only time the 14.2 kg domestic LPG price was hiked was on May 7, 2026, by Rs 60 across cities – the first hike since April 2025. But oil companies are absorbing losses to keep household cooking gas politically manageable, even as restaurants, dhabas, tea stalls and canteens face a near-tripling of their fuel input costs.
The Bigger Picture
What makes this moment particularly significant is the simultaneity of the shocks. Earlier fuel crises in India typically saw one or two energy categories spike while others were insulated by policy. In 2026, consumers – whether they drive a petrol car, run a CNG auto, cook at home, or run a roadside dhaba – are being squeezed from all sides at once.
The price spike persists as global crude rates remain high due to Middle East tensions and fears of supply shortages following Iran’s closure of the Strait of Hormuz in response to US-Israeli airstrikes.
The cascading effects are already visible: freight costs are rising, food inflation is expected to follow, and commuter transport operators across India are beginning to revise their fares. The political arithmetic of further hikes -with multiple state elections on the horizon – will likely shape how aggressively oil marketing companies are allowed to pass on the next round of losses. But for now, the common consumer has no buffer left.
