After ₹3 hike fuel prices vary across Indian cities today
After the ₹3-per-liter price hike on May 15, you might have noticed that filling up your tank costs a lot more depending on where you are.
For example, gasoline in Delhi is ₹97.77 per liter, but it jumps to ₹108.74 in Kolkata, and ₹106.68 in Mumbai.
Diesel shows a similar pattern: Delhi stays cheapest at ₹90.67, while Kolkata and Chennai are both above ₹95.
State VAT explains city price differences
The main reason for these big gaps? State taxes, specifically VAT, since fuel isn't covered by GST yet.
Delhi keeps prices lower with its relatively lower VAT rates, but cities like Kolkata and Mumbai add extra charges through higher VAT and additional levies.
Chennai's prices land somewhere in between because of its own tax setup.
State taxes explain ₹10-11 city gap
While moving fuel around does add a bit to the price, it's really state taxes that explain most of the ₹10-11 difference from city to city.