Petrol may become expensive by ₹18 Diesel ₹35:Prices may increase after elections in 5 states, including Bengal; oil companies facing loses

Due to rising crude oil prices, petrol could become expensive by ₹18 and diesel by ₹35 per liter. A report by foreign brokerage firm Macquarie states that despite expensive crude oil, petrol-diesel prices in the country remain stable. This is causing losses to companies. In such a situation, companies may increase prices after the elections in 5 states, including West Bengal. Crude oil price increased by $27 in 46 days Companies incurring a loss of ₹1,600 crore every day Due to the high price of crude oil, companies are incurring a loss of ₹18 per liter on petrol and ₹35 per liter on diesel. At its peak last month, these three companies were incurring a loss of approximately ₹2,400 crore every day. After a ₹10 reduction in excise duty, this loss has decreased to ₹1,600 crore. With every $10 surge, the loss increases by approximately ₹6 per liter. India imports 88% of its crude oil India imports approximately 88% of its crude oil requirements. Of this, 45% comes from the Middle East and 35% from Russia. Rising crude oil prices are a threat not only to oil companies but also to the country’s Current Account Deficit (CAD). It is estimated that this deficit could increase to $20 billion in the first quarter of 2026. Excise Duty Reduced from 22% to 8% in 9 Years The contribution of excise duty on oil to government revenue is continuously decreasing. In financial year 2017, it was 22%, which has now fallen to just 8%. Even if the government completely removes excise duty, the losses of oil companies at current prices will not be fully eliminated. Many Countries, Including US, Increased Petrol-Diesel Prices In the US, average petrol prices have crossed $4 per gallon for the first time since August 2022. Meanwhile, several neighboring countries, including Pakistan, Nepal, and Sri Lanka, have also increased petrol and diesel prices.