Oil companies suffer losses worth billions, but will it be a burden on your pocket? Government’s clarification on the news of price increase after elections

Petrol Diesel Price Hike Denied: The Iran war and Hormuz crisis have had a serious impact on the global oil supply chain. There has been a huge jump in the prices of crude oil, and now it has crossed $ 100 per barrel. There was a time when the price of crude oil reached $115. Due to this, the prices of petrol and diesel have been increased in many countries like America, Europe, Britain, Pakistan, Sri Lanka, Bangladesh. However, the government in India has so far kept the prices of petrol and diesel stable, while the government oil companies are not changing the retail prices despite the increased prices of crude oil.

Now a report has come out in which it has been claimed that after the assembly elections being held in five states in India, there may be a big increase in the prices of petrol and diesel. The report says that oil prices may increase by Rs 25-28 per liter.

What does Kotak Institutional Equity report say?

Kotak Institutional Equity report states that pressure on oil companies is increasing due to Iran war and tension in the Strait of Hormuz. However, due to the elections the government has kept oil prices stable. The report also said that once the elections are over, oil companies may gradually increase retail prices, and this increase may go up to Rs 25-28 per liter.

Shipping and insurance costs are rising due to rising global crude oil prices and the crisis in the Strait of Hormuz. The price of the Indian crude basket has increased by $47 per barrel in March 2026, and crude import volumes have also declined by 15 percent. Due to this, India’s crude oil import bill has increased by 190-210 million dollars daily.

Petroleum Ministry rejected the report

The government has responded to the Kotak Institutional Equity report and completely rejected it. The Ministry of Petroleum and Natural Gas has said through a post on social media that there is no plan to increase the prices of petrol and diesel.

Also read- Big relief to Amit Jogi in Jaggi murder case, Supreme Court stays on the decision of Chhattisgarh High Court.

The ministry also said that for the last 4 years, the government has kept the prices of petrol and diesel stable and there has been no change in the retail prices despite fluctuations in the global market. The government says that at present the Petroleum Ministry does not have any such plan which could lead to increase in the prices of petrol and diesel.