Petrol and diesel prices in India: why rates differ by city

Why petrol and diesel prices differ in India

The price on a fuel pump is not one national number. It can differ between Delhi, Mumbai, Chennai, Bengaluru and smaller towns because taxes and local costs differ.

What affects fuel prices?

Retail petrol and diesel prices are shaped by international crude-oil prices, the rupee–dollar exchange rate, refinery and freight costs, central taxes, dealer commission and state VAT or sales tax. State taxes are a major reason two cities can have different prices on the same day.

Are fuel prices revised daily?

Oil marketing companies publish retail selling prices for locations. A rate can change, so use an official oil-company price checker or the price displayed at the local pump for a current figure.

How to compare prices correctly

Check the same fuel grade, same city and same date. Do not compare an old social-media screenshot with a current price. For a trip or budget, use the actual local price, your vehicle’s mileage and expected distance.