IOC, HPCL, BPCL: OMCs shares gain after govt raises excise duty on petrol, diesel; key details you need to know

Earlier, news reports said that if gas prices remain constant and there is no price increase in the LPG cylinder, FY26 could see a repeat of the kind of losses suffered by OMCs in FY25, the report further said.

The special additional excise duty on petrol has been increased from ₹11 per litre to ₹13, and that on diesel from ₹8 to ₹10 per litre. With this, the total incidence of taxes imposed by the central government on petrol has increased to ₹21.9 a litre (₹1.40 a litre basis excise duty, ₹13 special additional excise duty, ₹2.50 agriculture cess and ₹5 road and infrastructure cess) from ₹19.9 a litre.

The increase in duties will "come into force on the 8th day of April 2025", an official order on the excise duty hike said.

While any change in taxes is normally passed on to consumers, there will be no change in the retail selling price of petrol and diesel, as the excise hike will be set off against the reduction in retail prices that was warranted by the fall in international oil prices.

International oil prices have slumped to their lowest since April 2021 as escalating trade tensions between the United States and China stoked fears of a recession that could cut oil demand.

Meanwhile, international crude oil futures traded lower today, with Brent futures trading around $64.08, down 2.2%, while WTI crude traded 2.4% lower, around $60.4. Oil prices extended their fall to trade near a four-year low amid concerns over slowing economic growth after US trade tariffs and weakening demand.

As regards LPG prices, cooking gas for Ujjawala users will cost ₹553 per 14.2kg cylinder from the current ₹503 in the national capital. The same for general users will now cost ₹853.

Recently, Goldman Sachs slashed its oil price forecasts for 2026 amid higher risks of recessions and higher-than-expected OPEC+ production.