Fuel Price Hike Fears Rise Amid West Asia Tensions: What Petroleum Ministry Said

Amid rising volatility in global oil markets due to tensions in West Asia, India’s Ministry of Petroleum and Natural Gas has said there are currently no plans to increase petrol and diesel prices.

Speaking at an inter-ministerial briefing, Sujata Sharma, Joint Secretary in the ministry, stated, “The central government does not have plans to increase petrol and diesel prices.” She added that India has been diversifying its energy sourcing in recent months, including increased imports from the United States.

Despite fluctuations in global crude oil prices, the government has maintained that fuel rates are expected to remain stable for now, with oil marketing companies absorbing part of the volatility to shield consumers from sudden price shocks.

Global oil markets have remained on edge due to the ongoing geopolitical tensions involving Iran, Israel, and the United States. The situation has heightened concerns over possible disruptions in oil shipments through the Strait of Hormuz, a crucial route that handles nearly one-fifth of the world’s oil supply.

However, Sharma flagged concerns over liquefied petroleum gas (LPG) availability, saying supply remains an issue even as alternative solutions are being explored. She pointed to options such as induction-based cooking to reduce dependence on LPG.

Energy costs continue to be a key concern for households across India, particularly after a recent hike in domestic LPG cylinder prices. Earlier this month, the price of a 14.2 kg LPG cylinder was increased by ₹60, pushing rates in Delhi from ₹853 to ₹913.

Commercial LPG cylinders (19 kg), widely used by restaurants and small businesses, also saw a price increase, adding to cost pressures in the food and services sector.

Beneficiaries under the Pradhan Mantri Ujjwala Yojana (PMUY) continue to receive a subsidy of ₹300 per cylinder, which is directly transferred to their bank accounts, offering partial relief from the rising costs.

While LPG prices and supply remain areas of concern, the government’s assurance on petrol and diesel offers some relief to consumers amid ongoing global uncertainty.