New Delhi: Nayara Energy on Thursday increased petrol and diesel prices, becoming one of the first fuel retailers in India to pass on the recent rise in global crude oil prices to consumers. 

The company has raised petrol prices by Rs 5 per litre and diesel by Rs 3 per litre, according to sources.

The actual increase may vary slightly across states due to differences in local taxes such as VAT. In some regions, petrol prices have gone up by as much as Rs 5.30 per litre.

The move comes at a time when global oil prices have surged sharply following tensions in the Middle East.

Prices had jumped nearly 50 per cent since late February, after Israel carried out military strikes on Iran, leading to retaliation and fears of supply disruptions.

International crude prices recently touched around $119 per barrel before easing to about $100.

Despite this surge, state-owned oil marketing companies such as Indian Oil Corporation, Bharat Petroleum Corporation Limited and Hindustan Petroleum Corporation Limited have not changed the prices of regular petrol and diesel, which have remained largely unchanged since April 2022.

These companies control about 90 per cent of the fuel retail market in India.

India depends heavily on imports for its energy needs, sourcing about 88 per cent of its crude oil from abroad.

A significant portion of these supplies passes through the Strait of Hormuz, a key shipping route now under threat due to rising geopolitical tensions in the region.

Meanwhile, earlier in the day, the government said that all retail outlets are operating normally with sufficient petrol and diesel stocks to meet national demand.

It added that a rapid rollout of PNG connections is currently underway across the country.

All refineries are operating at a high capacity with adequate crude inventories. While panic buying did occur in some areas due to rumours, the government has confirmed that all retail outlets are operating normally.