From today, there are some losses on petrol. To cover these, we may have to increase prices, Hindustan Petroleum's director (finance), B Mukherjee, told reporters here. He said crude oil was around $108 per barrel in international markets, while the rupee had depreciated from Rs 46.50 a dollar three months earlier to a little over Rs 49 a dollar now, increasing the cost of oil imports.

He said revenue losses of India's oil marketing companies because of sales at subsidized rates are expected to hover at Rs 1.3 trillion ($26.38 billion) in this year ending March 31, 2012.

Congress have also virtually justified the petrol price hike citing high international rates of crude oil. Slamming the hike, BJP leader Sushma Swaraj wrote on micro-blogging site Twitter, " Petrol price hiked again - another blow to the common man from an insensitive Government."

State-owned oil firms are currently losing Rs 9.27 per litre of diesel, Rs 26.94 per litre of kerosene sold through the public distribution system ( PDS) and Rs 260.50 per 14.2-kg LPG cylinder supplied to households for cooking purposes.

After today's increase, petrol in Delhi will cost Rs 68.64 a litre. The rates will vary in other cities according to local levies.

People have responded negatively to this news .Petrol prices hike will have impact on the car sales.