New Delhi [India]: What is the price of one litre of petrol in New Delhi? Most people would simply search on Google and find that a litre of petrol in the national capital costs Rs 102.12.
But that is not true. Before we continue, let me tell you that the price of petrol in India varies state to state because the states have the authority to set their own value-added tax and additional cesses.
It is worth noting that the fuel prices don't fall under the unified GST framework, and that is the reason why fuel prices are not the same across India.
Now come to the prices. After four rounds of price hikes, the one-liter petrol prices in Delhi stand at Rs 102.12, while it will cost you Rs 115.69 in Hyderabad.
Now, the catch in these prices is that they are not 100 percent petrol because the Government of India has mandated blending ethanol in pure petrol. Currently, the center has mandated oil marketing companies (OMCs) to sell petrol blended with up to 20% ethanol (E20) to the consumers.
This means the one-liter price you are paying is not the price of original petrol; instead, it is the price of 80% petrol and 20% ethanol.
For understanding, ethanol is a flammable and volatile organic liquid. It is primarily produced by fermenting plant sugars and starches. Raw feedstocks (like corn, sugarcane, or molasses) are milled or crushed, and the complex carbohydrates are broken down into simple sugars. Yeast is then added to convert these sugars into alcohol via a biochemical process.
What is the original price of 1 liter of petrol in India?
One liter of ethanol-free petrol will cost you Rs 167.35 in New Delhi, much higher than the popular price of the petrol you know.
Notably, two leading OMCs, Indian Oil and Bharat Petroleum, sell ethanol-free petrol by the names of XP 100 and Speed-100, respectively. The price of one liter of XP 95 petrol with 20% ethanol blending will cost Rs 109.24 in New Delhi.
Fuel Price increase from 2014 to 2026
Petrol prices over the last 12 years (2014 to 2026), India has experienced a significant price rise despite the fact that Brent crude was much cheaper than the 2026. In 2014, the average price of petrol in India was roughly ₹72.43 per litre while the crude was at $99.00 – $105.00 per barrel (peaked at $115 in June before a late-year crash).
In 2026, the current average price sits at around ₹102.12 per litre (E20) while the crude has stabilised around $71.92 – $72.26 per barrel in July after the recent U.S.–Iran geopolitical tensions eased.
Controversies around E20 Blending
Hundreds of vehicle owners across the country have reported a noticeable drop in their vehicles' mileage, with many alleging that fuel quality is to blame.
Social media has been flooded with complaints from users claiming their cars have either broken down or developed serious mechanical issues. Several vehicle owners have also shared videos alleging that automobile manufacturers are refusing to carry out repairs, citing fuel-related damage as the cause.
India is the only country in the world that is aggressively implementing E20 fuel as a national standard. While most of the developed countries allow only a 10% ethanol mix.
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Government's response
Union Minister for Road Transport and Highways Nitin Gadkari has been defending the ethanol blending mandate. Keeping the concerns aside, the minister has also approved a legal recognition for a 100 percent ethanol blend fuel.
However, in a recent media interaction, Petroleum Minister Hardeep Singh Puri said E20 fuel may slightly reduce vehicle mileage but can improve acceleration.
Notably, despite the big claims of success, the center recently told the SC that E20 is an "experiment," and its results will come out by next year.
Amid rising public backlash on ethanol blending, the center has sought to contain the anger, reported news agency Reuters.
On the other hand, opposition parties have intensified attacks on the Modi government, as Congress leader Tehseen Poonawalla has announced a protest against the E20 blending policy in New Delhi on Sunday.
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Ends
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