Petrol and diesel prices were raised by up to 91 paise per litre on Saturday, marking the third hike in less than 10 days.
In Delhi, petrol increased by 87 paise from Rs 98.64 to Rs 99.51 per litre, while diesel went up by 91 paise from Rs 91.58 to Rs 92.49.
This is the third increase in rates since May 15, when state-owned oil companies started passing on the elevated energy prices arising from the West Asia conflict in a calibrated manner.
Prices were hiked by Rs 3 a litre on May 15, followed by a 90 paise increase on May 19.
In all, rates have gone up by almost Rs 5 per litre.
The May 15 increase came after the ruling Bharatiya Janata Party (BJP) expanded its electoral footprint by winning three of five state and UT elections, including West Bengal.
The back-to-back increases follow a prolonged freeze in retail fuel prices and come amid elevated crude oil prices in the global market, tightening refining margins, and a weaker rupee, which have sharply raised the cost of imports.
The latest price revision comes amid rising fuel demand across several states ahead of the wheat harvesting and paddy sowing seasons.
The increase also follows Prime Minister Narendra Modi recently urging citizens to reduce fuel consumption by using public transport more frequently and opting for work-from-home arrangements to help curb India’s oil import bill and ease pressure on foreign exchange reserves.
No nationwide fuel shortage: IOC
Meanwhile, Indian Oil Corporation (IOC), the nation's largest oil firm, said there was no overall shortage of petrol and diesel in the country and described fuel outages reported at some retail outlets as "highly localised" and temporary, caused by regional demand-supply mismatches and shifting sales patterns.
The state-owned fuel retailer attributed higher demand at certain outlets to seasonal rise in diesel consumption during the harvesting season, migration of customers from private pumps where retail prices were relatively higher, and increased institutional purchases at public sector outlets as bulk fuel supplies were being priced in line with elevated international rates.
It said the current situation being witnessed at certain retail outlets is "highly localised and temporary in nature, arising due to local demand-supply imbalances and redistribution of sales patterns in select areas.
The company said only a "very small number" of outlets in its network of more than 42,000 fuel stations had witnessed supply disruptions, while stocks and supplies at the majority of pumps remained normal and adequate.
Petrol sales during May 1-22, according to IOC, rose 14 per cent year-on-year, while diesel sales increased around 18 per cent, reflecting "sustained and exceptionally high" growth in demand that it continued to meet across the country.
(With inputs from PTI)
