Oil Minister Hints at Price Hike, Says Wrong to Link Timing to Polls

Petroleum and Natural Gas Minister Hardeep Singh Puri today said future increases in petroland diesel prices cannot be ruled out amid continued geopolitical uncertainty, though he dismissed suggestions that fuel price revisions are linked to elections.

Addressing the CII Annu al Business Summit 2026, Puri said retail fuel prices had remained unchanged for the past four years despite several elections during the period.

“People said straight after elections prices will be raised. How many elections have happened in the last four years?” he said, adding that elections and fuel price revisions were “unrelated”.

At the same time, the minister clarified that he was “not saying prices will not go up”, indicating that the government may eventually need to reassess fuel pricing if global oil market volatility persists.

The minister’s remarks come as global crude oil markets remain volatile amid prolonged geopolitical tensions in West Asia. Puri nevertheless maintained that India’s energy security position remains comfortable, stating that the country currently holds crude oil and liquefied natural gas inventories sufficient for around 60-69 days, while LPG stocks are adequate for about 45 days.

He also said India has ramped up domestic LPG production significantly as part of contingency measures.

“We have ramped up LPG production. Our domestic production has increased to 54,000 metric tonnes per day from 35,000–36,000 metric tonnes per day prior to the war,” he said.

Puri added that LPG consumption has moderated to around 75,000 metric tonnes per day from nearly 90,000 metric tonnes earlier, partly because of weather-related factors. Consumption could decline further to around 72,000 metric tonnes, he said, adding that India is now less dependent on LPG imports.

The minister also sought to calm fears of any immediate lockdown-like restrictions. “It is not that a lockdown is coming tomorrow, but oil companies are losing ₹1,000 crore every day, and there have been 75 days of uncertainties due to the war. It is time to look at our lifestyle,” he said.

Puri acknowledged that state-run fuel retailers may eventually need to review the sustainability of selling transport fuels below market-linked prices if elevated crude oil prices continue for a prolonged period.

He also echoed Prime Minister Narendra Modi’s recent appeal for austerity and fuel conservation measures to reduce pressure on foreign exchange reserves amid global uncertainty.

Speaking at a public event in Hyderabad earlier this week, Modi urged citizens to reduce fuel consumption, use public transport, adopt electric vehicles, avoid non-essential foreign travel and postpone gold purchases for a year.