The Union government on Monday (June 29, 2026) evening removed all restrictions and caps on the sale of diesel and petrol in the country, effective July 1.
That is, it removed the cap on the retail sale of diesel of 200 litres per consumer per day and removed the restriction on industrial consumers from purchasing fuel from retail pumps.
“The temporary measures helped ensure adequate availability of petrol and diesel across the country while safeguarding the interests of retail consumers,” it stated on Monday.
It had also asked industrial and commercial consumers to purchase their fuel requirements from their dedicated supply channels and not from retail outlets – which were exclusively meant for retail consumers.
The government had noted then that industrial consumers were increasingly shifting to retail pumps to benefit from the price differential.
The Union government on Monday (June 29, 2026) evening removed all restrictions and caps on the sale of diesel and petrol in the country, effective July 1. That is, it removed the cap on the retail sale of diesel of 200 litres per consumer per day and removed the restriction on industrial consumers from purchasing fuel from retail pumps.
The latest directive – pointing to an easing supply situation – builds on the government’s June 25 order that restored the supply of industrial and commercial liquefied petroleum gas (LPG) to levels supplied before the West Asia war and withdrew all caps on sector-specific allocations.
The Union Petroleum Ministry had issued the control order for diesel on June 12 to arrest black marketing, diversion, and hoarding of diesel and prevent industrial and commercial consumers from purchasing the fuels from retail outlets.
“The temporary measures helped ensure adequate availability of petrol and diesel across the country while safeguarding the interests of retail consumers,” it stated on Monday. “Their withdrawal reflect the improvement in the supply situation and the restoration of normal supply arrangements.”
Among other things, the now-withdrawn regulations directed retail outlets of state-owned oil marketing companies to dispense a maximum of 200 litres of diesel to a consumer or a vehicle in a day.
It had also asked industrial and commercial consumers to purchase their fuel requirements from their dedicated supply channels and not from retail outlets – which were exclusively meant for retail consumers.
Bulk diesel is approximately ₹40 more expensive per litre than what is sold at retail pumps. The government had noted then that industrial consumers were increasingly shifting to retail pumps to benefit from the price differential.
The overall regulations were to be in place for 90 days unless withdrawn earlier.
