NEW DELHI: Private fuel retailer Nayara Energy raised petrol and diesel prices in the country. The price of petrol was increased by Rs 5 per litre and diesel by Rs 3 per litre. The revised rates came into effect early this morning. The new prices apply to all 7,108 Nayara Energy fuel stations across the country.
Reports indicate that the price hike follows a rise in the cost of crude oil and refined oil products in the international market. Nayara's move comes as high oil prices exert pressure on the company's profit margins.
Nayara Energy, India's largest private fuel retailer, had similarly raised fuel prices. That price hike was driven by disruptions to fuel supplies caused by the conflict in West Asia. However, the rate hike was subsequently withdrawn on July 1st following a drop in crude oil prices in the international market.
Meanwhile, despite a rise in international oil prices, public sector oil companies in India have not made significant changes to petrol and diesel prices. This has resulted in a wide gap between the prices charged by private fuel companies and those of public sector oil companies. The price hike follows a recent directive from the Central Government instructing private fuel retailers not to restrict fuel sales.