Fuel Prices Stable in India Despite Ethanol Blend Tax Exemption

Petrol, Diesel price today: Fuel prices remained stable across major Indian cities on June 11, 2026, despite the Centre's excise duty exemption on higher ethanol-blended petrol. This relief targets specific E22-E30 blends, not regular petrol, aiming to boost biofuel adoption and reduce crude oil imports. Consumers will not see immediate price drops for standard fuels.

Even after the Centre announced a fresh excise duty exemption on higher ethanol-blended petrol, consumers are not seeing any immediate hike in the prices of petrol and diesel today, June 11, 2026. Fuel prices remained unchanged across major Indian cities on Thursday, offering stability for vehicle owners despite the government's latest push for cleaner fuels.

Petrol, Diesel prices steady on June 11

Oil marketing companies kept petrol and diesel rates unchanged on Thursday. Prices in key metros continue to remain at existing levels, with no revision announced for retail consumers. This comes at a time when the government is focusing on expanding ethanol blending in transport fuels.

Petrol and Diesel in major Indian cities

CityPetrol (₹/litre)Diesel (₹/litre)Delhi102.1295.20Mumbai111.1897.83Kolkata113.5199.82Chennai107.8799.65Bengaluru110.8998.80Hyderabad115.69103.82Ahmedabad102.2997.91Jaipur112.6698.19Lucknow101.8995.07Patna114.24101.07Chandigarh101.5189.47Bhubaneswar108.97100.54Thiruvananthapuram115.49104.29

What Has the Government Changed?

The Centre has waived excise duty on petrol blends containing higher levels of ethanol, specifically E22, E25, E27 and E30 fuels. These blends contain between 22% and 30% ethanol mixed with petrol. The move is aimed at encouraging the adoption of cleaner fuels, reducing crude oil imports and supporting India's biofuel programme.

The exemption does not apply to regular petrol sold at most fuel stations. As a result, motorists filling up conventional petrol vehicles are unlikely to notice any immediate change in pump prices.

Why Aren't Fuel Prices Falling?

The latest excise duty relief is targeted at specific ethanol-rich fuel blends rather than standard petrol. Since these fuels are currently meant for compatible engines and flex-fuel vehicles, the tax benefit is primarily intended to boost ethanol adoption rather than reduce retail fuel prices across the board.

The government's broader strategy is to lower dependence on imported crude oil while promoting cleaner energy alternatives. Officials believe higher ethanol blending can help improve energy security and reduce emissions over the long term.

What Consumers Should Know

For now, there is no change in the price of regular petrol and diesel sold at retail outlets. Vehicle owners can continue to check daily rates issued by oil marketing companies, while the impact of the new ethanol-focused tax policy is expected to be seen gradually as more compatible vehicles and fuel options enter the market.

Bottom line: The government has cut excise duty on higher ethanol-blended petrol, but ordinary consumers are not seeing lower petrol or diesel prices yet because the exemption applies to select ethanol-rich fuel blends rather than regular fuel sold at pumps.