Nayara Energy hikes fuel prices: Petrol up Rs 5, diesel Rs 3 amid crude, retail fuel losses
The revised prices took effect in the early hours of Saturday across Nayara Energy’s 7,108 fuel stations in India.
- Oct 3, 2026,
- Updated Oct 3, 2026 3:37 PM IST
Nayara Energy, India’s largest private fuel retailer, has raised petrol prices by Rs 5 per litre and diesel prices by Rs 3 per litre, effective from Saturday, people familiar with the matter said. The increase comes amid a rise in international crude oil and refined-product prices and is aimed at narrowing the gap between retail fuel prices and the company’s costs.
The revised prices took effect in the early hours of Saturday across Nayara Energy’s 7,108 fuel stations in India.
This is the second time this year that Nayara has raised fuel prices by the same amount. On March 26, the company increased petrol and diesel prices by Rs 5 and Rs 3 per litre, respectively, after disruptions to energy supplies following the Iran conflict. It subsequently withdrew the increase on July 1 as crude oil prices declined and tensions in West Asia eased.
The latest price revision comes as private fuel retailers face pressure from rising crude costs while state-owned oil marketing companies have largely kept pump prices unchanged. Indian Oil Corporation, Bharat Petroleum Corporation and Hindustan Petroleum Corporation together control more than 90% of India’s 1,04,137 petrol pumps.
The government on October 1 asked private fuel retailers not to restrict petrol and diesel sales at their outlets. Nayara and Jio-bp had limited fuel supplies at some stations amid losses on retail sales. Officials said the price differential between retail and bulk diesel had encouraged industrial consumers to buy cheaper fuel from retail outlets, adding to supply pressures.
Jio-bp, the fuel retail joint venture between Reliance Industries and UK-based bp, operates 2,304 petrol pumps but has not announced a similar price increase so far.
The financial pressure on fuel retailers has also been highlighted by rating agency Icra. Last month, Icra estimated that oil marketing companies were facing negative marketing margins of around Rs 8 per litre on petrol and Rs 9 per litre on diesel in September.
According to Icra, oil marketing companies were losing around Rs 530 crore a day across petrol, diesel and LPG as higher crude prices combined with unchanged domestic fuel prices squeezed profitability and cash flows.
Icra estimated that the combined refining and marketing operations of oil companies break even when crude prices are around $85-$90 a barrel. Without corresponding increases in retail prices, sustained increases in crude could result in larger marketing losses.
Nayara operates a 20-million-tonne-a-year refinery at Vadinar in Gujarat and has more than 7,000 fuel stations nationwide.
The latest increase could widen the price difference between private and state-owned fuel outlets. If other private retailers follow suit, higher fuel prices could raise freight and operating costs and add to pressure on household inflation and fuel demand.
With PTI inputs
Nayara Energy, India’s largest private fuel retailer, has raised petrol prices by Rs 5 per litre and diesel prices by Rs 3 per litre, effective from Saturday, people familiar with the matter said. The increase comes amid a rise in international crude oil and refined-product prices and is aimed at narrowing the gap between retail fuel prices and the company’s costs.
The revised prices took effect in the early hours of Saturday across Nayara Energy’s 7,108 fuel stations in India.
This is the second time this year that Nayara has raised fuel prices by the same amount. On March 26, the company increased petrol and diesel prices by Rs 5 and Rs 3 per litre, respectively, after disruptions to energy supplies following the Iran conflict. It subsequently withdrew the increase on July 1 as crude oil prices declined and tensions in West Asia eased.
The latest price revision comes as private fuel retailers face pressure from rising crude costs while state-owned oil marketing companies have largely kept pump prices unchanged. Indian Oil Corporation, Bharat Petroleum Corporation and Hindustan Petroleum Corporation together control more than 90% of India’s 1,04,137 petrol pumps.
The government on October 1 asked private fuel retailers not to restrict petrol and diesel sales at their outlets. Nayara and Jio-bp had limited fuel supplies at some stations amid losses on retail sales. Officials said the price differential between retail and bulk diesel had encouraged industrial consumers to buy cheaper fuel from retail outlets, adding to supply pressures.
Jio-bp, the fuel retail joint venture between Reliance Industries and UK-based bp, operates 2,304 petrol pumps but has not announced a similar price increase so far.
The financial pressure on fuel retailers has also been highlighted by rating agency Icra. Last month, Icra estimated that oil marketing companies were facing negative marketing margins of around Rs 8 per litre on petrol and Rs 9 per litre on diesel in September.
According to Icra, oil marketing companies were losing around Rs 530 crore a day across petrol, diesel and LPG as higher crude prices combined with unchanged domestic fuel prices squeezed profitability and cash flows.
Icra estimated that the combined refining and marketing operations of oil companies break even when crude prices are around $85-$90 a barrel. Without corresponding increases in retail prices, sustained increases in crude could result in larger marketing losses.
Nayara operates a 20-million-tonne-a-year refinery at Vadinar in Gujarat and has more than 7,000 fuel stations nationwide.
The latest increase could widen the price difference between private and state-owned fuel outlets. If other private retailers follow suit, higher fuel prices could raise freight and operating costs and add to pressure on household inflation and fuel demand.
With PTI inputs