New Delhi [India], July 23 : The government on Thursday did not indicate whether it would reduce petrol and diesel prices despite the recent decline in Brent crude oil prices, saying international oil markets remain highly volatile due to the ongoing West Asia crisis and public sector oil marketing companies (OMCs) have incurred heavy losses.
In a written reply to an unstarred question in the Lok Sabha, Minister of State for Petroleum and Natural Gas Suresh Gopi cited the continued volatility in international crude oil prices due to the West Asia crisis as the government responded to queries related to reduction in petrol and diesel prices.
"The price of Brent crude oil was USD 122.86/barrel on 30th April 2026 and USD 68.17/barrel on 2nd July 2026. However, the Brent crude prices continue to heavily fluctuate and have again increased to USD 92.19/barrel on 21st July 2026," the minister said.
The reply came in response to a question on whether the government had taken any decision to reduce the prices of petrol and petroleum products, including LPG, in line with the decline in Brent crude oil prices.
While explaining the factors influencing domestic fuel prices, the government did not comment on decision on reducing the retail prices of petrol or diesel.
Instead, the government said India imports more than 88 per cent of its crude oil requirement and that international crude prices have risen significantly since March 2026 because of the West Asia crisis.
"To protect consumers from its impact, in March 2026, Government reduced the excise duties on petrol and diesel by Rs. 10 per litre each, resulting in a substantial negative impact on its tax revenues," the minister said.
The reply also said the continuing geopolitical uncertainty had affected the finances of state-run oil retailers.
"The conflict in the West Asia has not abated and the resultant geopolitical situation continues to be highly volatile. PSU OMCs have incurred huge losses on the sale of petrol, diesel, LPG, etc. Against this, Petrol and Diesel prices were increased only marginally by the PSU OMCs," the minister said.
According to the government, the current retail selling price in Delhi stands at Rs 102.12 per litre for petrol and Rs 95.20 per litre for diesel.
The reply did not specify any timeline or conditions under which petrol and diesel prices could be reduced.