Fuel prices remained mostly stable across major Indian cities on December 28, 2025. This stability follows a period of fluctuating crude oil prices in the global market. Consumers are advised to check the rates in their specific cities, as prices can vary due to state taxes, transportation costs, and local regulations.

Current Prices in Major Cities

Here's a snapshot of petrol and diesel prices in key cities as of today:

• Delhi: Petrol is priced at Rs 94.72 per liter, while diesel costs Rs 87.62 per liter.
• Mumbai: Petrol is selling for Rs 104.21 per liter, and diesel is at Rs 92.15 per liter.
• Kolkata: Petrol is priced at Rs 103.94 per liter, while diesel is trending at Rs 90.76 per liter.
• Chennai: Petrol costs Rs 100.75 per liter, and diesel is priced at Rs 92.34 per liter.
• Bangalore: Petrol is at Rs 102.92 per liter, and diesel is at Rs 89.02 per liter.
• Hyderabad: Petrol is priced at Rs 107.46 per liter, while diesel is selling at Rs 95.70 per liter.
• Chandigarh: Petrol is retailing at Rs 94.24 per liter.
• Shimla: Petrol is priced at Rs 95.90 per liter.

Factors Influencing Fuel Prices

Several factors contribute to the retail prices of petrol and diesel in India:

• Crude Oil Prices: The cost of crude oil, which India imports, is a primary determinant. Fluctuations in the global crude oil market directly impact domestic fuel prices.
• Excise Duty: The central government levies a fixed excise duty on fuel, which remains consistent across all states.
• Value Added Tax (VAT): VAT varies from state to state, leading to price differences across the country.
• OMC Costs: The costs incurred by oil marketing companies (OMCs) in refining crude oil and selling it to dealers also factor into the final price.
• Dealer Commission: Dealer commissions, though variable, are another component of the pricing structure.
• Rupee-Dollar Exchange Rate: The exchange rate between the Indian Rupee and the US dollar also plays a crucial role, as crude oil is purchased in US dollars.

Dynamic Fuel Pricing

India follows a dynamic fuel pricing system, where prices are revised daily at 6 a.m.. This system allows OMCs to adjust prices in response to changes in crude oil costs and currency exchange rates.

Impact of Stable Fuel Prices

Stable fuel prices can provide relief to consumers and help control inflation by reducing transportation costs and the prices of essential commodities. The government's aim in managing fuel prices is to provide direct relief to the public and stabilize the overall economy.

Regional Price Variations

It is important to note that fuel prices can vary significantly between cities and states due to differences in VAT and other local factors. Consumers can check the daily rates published by OMCs like Indian Oil, Bharat Petroleum, and Hindustan Petroleum to stay informed.