Fuel prices in India have increased again, raising overall commuting and vehicle ownership expenses across segments. Petrol and diesel rates have witnessed multiple revisions in recent weeks, pushing fuel prices above the Rs 100 mark in several cities. In Delhi, petrol is currently priced at about Rs 102.12 per litre, while diesel stands at nearly Rs 95.20 per litre after the latest revision. Although the hike appears marginal, the overall impact on monthly fuel expenses becomes more significant for high-mileage users and SUV owners.
Impact on Car Buying Trends
The increase is also expected to influence buying trends in the Indian car market. While buyers in recent years focused heavily on features such as panoramic sunroofs, larger touchscreens and connected technology, rising fuel costs are bringing mileage and running expenses back into consideration. To understand the effect more clearly, this article provides a segment-wise estimate of monthly fuel costs based on current Delhi fuel prices, average real-world efficiency figures and a monthly driving distance of 1,500 kilometres.
Hatchback - Maruti Suzuki WagonR Petrol
The hatchback category continues to remain one of the largest segments in the Indian passenger vehicle market, with the Maruti Suzuki WagonR consistently ranking among the country's highest-selling cars. Using the WagonR as a reference highlights how recent fuel price hikes are affecting everyday running costs for hatchback owners. Average real-world fuel efficiency for the WagonR stands at around 18 kmpl. Based on a monthly usage of 1,500 kilometres, the car would consume nearly 83 litres of petrol every month. At current Delhi petrol prices, monthly fuel expenditure comes to roughly Rs 8,475, compared to about Rs 7,850-8,000 before the recent hikes.
While hatchbacks remain relatively affordable to run compared to SUVs, repeated fuel price increases are gradually raising commuting expenses for buyers with regular daily usage.
Sub Four-Metre SUV - Tata Nexon Turbo Petrol
Sub-four metre SUVs continue to dominate sales charts in India, but rising fuel prices are also making them noticeably more expensive to run than hatchbacks. Taking the turbo-petrol Tata Nexon as an example highlights how ownership costs are increasing in the segment. With an average fuel efficiency of around 14 kmpl, the Nexon turbo petrol would consume nearly 107 litres of petrol every month based on a usage of 1,500 kilometres. At current Delhi petrol prices, monthly fuel expenses come to approximately Rs 10,925, compared to nearly Rs 10,000 before the recent revisions.
While the monthly increase may appear limited initially, the additional yearly expense becomes more noticeable over time. For buyers using compact SUVs regularly in city traffic, fuel bills are now beginning to approach costs traditionally associated with larger SUVs.
Full-Size SUV - Toyota Fortuner Diesel
Full-size diesel SUVs continue to remain relatively practical for long-distance driving, which explains their sustained demand despite repeated fuel price hikes. Using the diesel Toyota Fortuner as an example highlights the running costs associated with the segment. With an average real-world fuel efficiency of nearly 10 kmpl, the Fortuner would require around 150 litres of diesel every month based on a driving distance of 1,500 kilometres.
At current Delhi diesel prices of approximately Rs 95.20 per litre, monthly fuel expenses stand at around Rs 14,280. Before the recent revisions, the same usage would have resulted in a monthly expense of roughly Rs 13,200-13,500. Although diesel SUVs continue to deliver better fuel efficiency than comparable petrol models, rising fuel prices are steadily increasing ownership costs across the segment.
Luxury SUV - Mercedes-Benz GLE
Luxury SUVs continue to record strong demand in India despite rising ownership expenses, with the Mercedes-Benz GLE remaining among the country's highest-selling models in the segment. Using the GLE as an example highlights the impact of recent fuel price hikes on running costs in the premium SUV category.
The GLE's larger size, heavier body and bigger engine options contribute to higher fuel consumption compared to mainstream SUVs. With an average real-world fuel efficiency of around 8 kmpl, the SUV would consume nearly 187 litres of fuel every month based on a monthly driving distance of 1,500 kilometres.
At the current Delhi petrol prices of approximately Rs 102.12 per litre, monthly fuel expenditure comes to around Rs 19,000. Before the latest revisions, the same usage would have resulted in a fuel bill of roughly Rs 17,500-18,000. Although fuel prices may not immediately influence purchase decisions in the luxury segment, repeated hikes are steadily increasing overall running costs. For owners regularly using large luxury SUVs in urban conditions, monthly fuel expenses are now considerably higher than those associated with mainstream SUVs and sedans.
