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Petrol, Diesel Price Hike: Nayara Energy Raises Rates by ₹5 and ₹3; Here’s the Reason

Posted on 5th Oct 2026 10:33 am by rohit kumar

Petrol and diesel prices have increased at Nayara Energy outlets across India, with petrol becoming ₹5 per litre costlier and diesel rising by ₹3 per litre. The revised rates took effect from the early hours of October 3, 2026, according to reports citing people familiar with the matter.

 

The latest Nayara Energy petrol price hike comes as international crude oil and refined petroleum product prices have risen, putting pressure on fuel retailers' marketing margins. Nayara operates 7,108 petrol pumps across the country.

 

The move could widen the price difference between Nayara outlets and petrol pumps operated by state-owned oil marketing companies, which have largely kept retail petrol and diesel prices unchanged.

 

Why Did Nayara Energy Increase Petrol and Diesel Prices?

 

The primary reason behind the latest fuel price hike is the increase in international crude oil and refined petroleum product prices.

 

Global energy markets have faced renewed pressure amid geopolitical tensions and disruptions to oil supply routes. Higher international prices have increased the cost of fuel procurement, while domestic retail prices have remained relatively stable for an extended period.

 

For private fuel retailers, the resulting squeeze on marketing margins has made it increasingly difficult to maintain existing pump prices.

 

Nayara Petrol Price Up ₹5, Diesel ₹3

 

Nayara Energy has increased:

 

Petrol: ₹5 per litre

Diesel: ₹3 per litre

 

The revision applies across the company's retail network of 7,108 fuel stations.

 

The latest increase follows another major price revision earlier this year. On March 26, Nayara raised petrol by ₹5 per litre and diesel by ₹3 per litre after international oil prices surged amid disruptions linked to the Iran conflict. At that time, petrol at Nayara outlets rose to ₹100.71 per litre, while diesel reached ₹91.31 per litre.

 

Nayara Had Cut Fuel Prices in July

 

Nayara subsequently reversed the March increase.

 

On July 1, the company reduced petrol prices by ₹5 per litre and diesel prices by ₹3 per litre after international crude prices declined and tensions in West Asia eased. The reduction brought Nayara's retail prices broadly back in line with those of state-owned fuel retailers.

 

The latest increase therefore marks a fresh reversal as global oil and petroleum-product costs have risen again.

 

State-Owned Oil Companies Have Not Raised Prices

 

The latest Nayara price hike could create a noticeable difference between private and government-owned fuel outlets.

 

Indian Oil Corporation, Bharat Petroleum Corporation and Hindustan Petroleum Corporation account for more than 90% of India's 1,04,137 petrol pumps. These state-owned companies have largely kept retail petrol and diesel prices unchanged despite fluctuations in international crude prices.

 

Meanwhile, Jio-bp, the fuel retail joint venture between Reliance Industries and bp, operates around 2,304 petrol pumps and has not yet revised its petrol and diesel prices, according to the latest reports.

 

As a result, motorists could temporarily find different fuel prices depending on which company's petrol pump they use.

 

Government Asked Private Fuel Retailers Not to Restrict Sales

 

The fuel-price developments come shortly after the government intervened over restrictions on petrol and diesel sales at some private fuel stations.

 

On October 1, the government directed private fuel retailers to stop limiting fuel sales. Nayara Energy and Jio-bp had reportedly restricted sales at some outlets as they faced losses from selling fuel at retail prices below their costs.

 

Officials said the price difference between retail and bulk diesel had encouraged some industrial consumers to purchase cheaper diesel from retail outlets, putting additional pressure on fuel supplies.

 

Oil Companies Face Heavy Marketing Losses

 

The pressure on fuel retailers is reflected in recent estimates from rating agency ICRA.

 

ICRA estimated that oil marketing companies were facing negative marketing margins of approximately ₹8 per litre on petrol and ₹9 per litre on diesel in September. It also estimated that OMCs were losing around ₹530 crore per day across petrol, diesel and LPG.

 

According to ICRA, the companies' combined refining and marketing operations generally break even when crude oil prices are around $85-$90 per barrel. If crude prices remain above that range without corresponding increases in domestic retail fuel prices, marketing losses can increase.

 

Will Petrol and Diesel Prices Rise Further?

 

The latest Nayara Energy hike has raised questions over whether other fuel retailers could also revise their pump prices if international crude and refined-product prices remain elevated.

 

If fuel retailers pass higher costs on to consumers, the impact could extend beyond petrol and diesel bills. Higher fuel costs can increase transportation, freight and operating expenses, potentially putting additional pressure on prices of goods and services.

 

However, if retailers continue to keep pump prices unchanged despite elevated international costs, their marketing losses could increase.

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