Oil from Iran will still increase in price! The government gave a big hint in this report, how much will the prices of petrol and diesel be?

Finance Ministry Report on Increasing Petrol-Diesel Prices: Due to the ongoing war between America and Iran, the energy crisis is at its peak all over the world. Oil prices are skyrocketing in India’s neighboring countries like Pakistan, Bangladesh and Sri Lanka. However, currently oil prices in India remain stable. But very soon the government may announce an increase in the prices of petrol and diesel.

On April 29, the Finance Ministry has released a report. In this report, the ministry has indicated that the government may soon decide to increase the prices of petrol and diesel. The report said that some countries had not passed the burden of rising prices of petrol and diesel on the general public, but unfortunately this could not be avoided.

Opposition leaders had claimed

Earlier, Leader of Opposition in Lok Sabha and Congress leader Rahul Gandhi had claimed that the concession given in oil prices in five states is temporary and the government will increase their prices after April 29. He said that when oil was cheap, the Modi government earned its profits. Now that it is expensive, the burden will be passed on to the public.

Election relief is over, heat of inflation is ready!

Watch after 29th April – Petrol, diesel, everything will be expensive.

When oil was cheap, the Modi government kept its profits. Now it is expensive, so it will put the burden on you.

Government doing cheap loot – The public is just being hit by inflation.

—Rahul Gandhi (@RahulGandhi) April 28, 2026

Rahul Gandhi’s words seem to be proving true to a great extent. But the question is, by how much will the government increase the prices of petrol and diesel? From which countries is India buying oil at present and at what price? Come, let us tell you through answers to some such questions, how much you will have to shell out for petrol and diesel in the future.

From where and at what price is India buying oil?

On April 29, the Finance Ministry said in its monthly economic report that India currently imports about 80% to 85% of its oil requirement mainly from Saudi Arabia, United Arab Emirates and other Gulf countries. Apart from this, India is also buying crude oil from Russia after getting exemption from America. However, America has also given the same exemption for purchasing oil from Iran.

India bought oil from Iran after seven years (AI generated photo)

After this, India made a deal with Iran for 40 lakh barrels of crude oil after seven years, out of which 20 lakh barrels of oil has been delivered to the ports of Gujarat through two tankers. India is getting crude oil at an average price of $ 113 per barrel. The report says that countries all over the world are suffering losses at this time, whereas countries like Canada and Japan were already prepared for this and had stored about 2 years of oil for their needs.

By how much can the prices of petrol and diesel increase?

Different figures have emerged regarding the increase in oil prices in India. Kotak Institutional Equities has expressed apprehension that the prices of petrol and diesel may increase by Rs 25 to 28 in the coming time. Whereas Macquarie Group said an increase of Rs 18 in petrol and Rs 35 in diesel.

Petrol and diesel prices may increase by Rs 25 to 28 (AI generated photo)

At the same time, Standard Chartered believes that if the price of crude oil remains at $ 95 per barrel in the coming time, then oil prices may increase by Rs 8 to 15. However, Sujata Sharma, Joint Secretary of the Petroleum Ministry, had termed it as just a rumour. He assured that India has sufficient stock of oil and there is no need to panic.

Why have oil prices not increased yet in India?

The price of petrol and diesel in India is decided every day by oil companies. This is called dynamic pricing system. Under the dynamic pricing system, companies can change oil prices every day. However, there has always been internal interference from the government. Petrol and diesel prices have always been a big election issue in India.

The Ministry of Finance @FinMinIndia releases Monthly Economic Review #MER for April 2026.

For full report ➡️

Key highlights 👇 pic.twitter.com/bXked3HYJx

— Ministry of Finance (@FinMinIndia) April 29, 2026

This is the reason why the government avoids making any increase in these before the elections. This is not the first time the government did this. Earlier, there was no change in prices before the elections from 2014 to 2019. Similarly, before the Bihar Assembly elections in 2020, West Bengal Assembly elections in 2021 and Uttar Pradesh Assembly elections in 2022, oil prices were not changed and the prices were increased a few days after voting.

Impact of rising prices on oil companies

According to the report, due to continuous increase in crude oil prices globally, government oil companies (IOCL, BPCL, HPCL) are facing huge losses. The report states that these companies have suffered a loss of about Rs 2,400 crore every day in March. The ministry said government companies suffered a loss of Rs 6 per liter for every $10 increase in crude oil. While private companies like ‘Nayara Energy’ In March itself, petrol had become costlier by Rs 5 and diesel by Rs 3.

Also read- Cylinder prices increased by Rs 993 outright, increased thrice in 3 months, IOCL told why the rates were increased.

How is the government handling the situation?

To handle the rising prices of petrol and diesel, the government usually uses ‘counter-subsidy’ Uses the system. Apart from this, when the prices of crude oil increase, the government either reduces the excise duty or asks the companies to bear the loss. For example, on March 27, the government had announced a reduction in duty on petrol and diesel by Rs 10. Apart from this, India is currently purchasing a large part of its requirement from Russia, so that the cost can be reduced.

If prices increase, how much will it affect the public?

The increase in oil prices does not just mean increase in the prices of petrol and diesel. This will also affect the plate of the general public. In India, 70 percent of freight transportation is done by trucks. This includes vegetables, fruits, grains and essential commodities, whose prices will have a direct impact. Apart from this, taxis, cabs, buses and online delivery will also be affected.

Possible effects of increase in petrol and diesel prices (AI generator photo)

According to experts, due to increase in the prices of petrol and diesel, people will be inclined towards electric vehicles and it may increase by 20 to 25 percent. Apart from this, experts have estimated that if the Iran war continues and oil becomes expensive, the inflation rate in India could reach 4.7% by 2027.