Seeking to arrest a recent abnormal increase in sales of petrol and diesel, in an order issued late on Thursday (June 11, 2026), the government barred industrial and commercial consumers from purchasing petrol and diesel from retail outlets and source them from dedicated supply channels only.

Additionally, the order also asks retail outlets for not dispensing more than 200 litres of diesel in a day to either a consumer or a vehicle.

The same cannot be resold, the order adds. The directive would be in force for ninety days unless revoked before the stipulated date.

The primary objective of the latest order is to arrest the “abnormal increase” in the sales of petrol and diesel.

In the recent past, the government has observed a sudden spurt in sales as industrial and commercial consumers increasingly turn to purchase the fuels from retail outlets amid elevating prices because of the situation in West Asia and a price differential between the two categorisations.

On May 27, the government had observed an approximately 29% decline in bulk sales with the same migrating to retail outlets.

Industrial diesel is about ₹40 per litre more expensive than the one sold at retail outlets.

Thus, the government attributes the migration of industrial and commercial consumers to retail outlets for “creating the potential for localised shortages and disruption of essential services to common man”.

In the backdrop of elevating crude oil prices, price of both petrol and diesel have been hiked by about ₹7.5 per litre across multiple tranches.

Notwithstanding the hikes, India’s state-owned oil-marketing companies continue to stare at under-recoveries of ₹30 per litre on diesel and ₹6 per litre on petrol.

Further, between April and May, consumption of diesel (inclusive of industrial and retail) has increased approximately 4.7% whilst petrol increased about 6%, according to provisional government data.