Petrol, diesel prices today, March 28: Check prices in Delhi, Mumbai, Kolkata, Chennai, Hyderabad

Fuel prices across India held steady on March 20, even as global crude markets remain on edge amid tensions in West Asia and disruptions to key shipping routes. The pause in the prices comes amid heightened political sensitivities ahead of state elections.

Prices remain unchanged after the government decided to cut excise duty on petrol and diesel by Rs 10 per litre. The excise duty on petrol went down from Rs 13 per litre to Rs 3 where the duty on diesel has been cut to zero from Rs 10 per litre. 

In Delhi, petrol continues to retail at Rs 94.77 per litre, while diesel is priced at Rs 87.67 per litre. Prices remain higher in Mumbai, where petrol is selling at Rs 103.54 per litre and diesel at about Rs 90.03 per litre.

Across major cities such as Bengaluru, Hyderabad and Kolkata, petrol prices are still above Rs 100 per litre, while diesel continues to be below Rs 100.

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Fuel prices in key cities (March 28)

What drives petrol and diesel prices in India?

A combination of global, economic, and domestic factors shapes fuel prices at the pump. At the heart of it is the international price of crude oil, the base raw material for both petrol and diesel, which has the single biggest bearing on what consumers ultimately pay.

The rupee-dollar exchange rate is another key variable, given that India relies heavily on imported crude. When the rupee weakens against the dollar, the cost of procuring crude rises, which can feed directly into higher retail fuel prices.

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Why do prices differ across different cities?

On top of that, taxes levied by both the central and state governments make up a substantial portion of the final price, which is why petrol and diesel rates differ across states. Transportation costs and prevailing demand-supply conditions also factor into the retail price consumers see at the pump.