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And that is not all: the oil companies say they should have increased the price by Rs 10 pr litre to offset the losses they suffer due to the subsidies they offer.
As if that was not enough, the common man is in for more pain: the diesel rate too is likely to be increased shortly by as much as Rs 4 per litre.
So, what can motorists do to save money on petrol? Well, there are certain steps they can take to make driving a more pleasant experience.
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Always check tyre pressure because if it the pressure is not correct it will reduce the vehicle's efficiency. It will be like driving with the brakes on. Try to maintain the correct PSI (pound-force per square inch).
If tyres are underinflated, it can cost a kilometre or two per litre. Keep all tyres inflated to the pressure as recommended for the car.
For every one per cent PSI that a driver does not have in the tyres, the fuel bill increases by 3 per cent. It takes a minute to check the pressure, so do it regularly.
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Tune up
Give your car a tune up. Proper maintenance of your car will keep your car running as efficiently as possible.
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Do not try to be a racing driver if you want to reach home in one piece and with some money in your wallet.
Over accelerating and harsh breaking is not only dangerous, it also increases the amount of fuel your vehicle will consume.
If you drive above the most fuel-efficient speeds, you'll consume petrol at a greater rate.
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If you can, avoid turning on air-conditioning. Air-conditioning can and does add upwards of around eight per cent to overall fuel consumption.
Use normal air vents or close the windows, turn the AC on and after few minutes switch it off. Do not use it too much.
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Engine
Leaving the engine on when waiting for someone or at traffic signal will surely increase your petrol bill. Plus, it also has an adverse impact on the environment.
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Throw out all the unnecessary items from the trunk as excess weight only adds to fuel consumption.
It makes it more difficult to accelerate and uses up more fuel in the process.
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Gas caps
Many of the vehicles have gas caps that are either damaged, loose or are missing altogether, causing fuel to vaporise every year.
So check your cap and replace it if it is damaged.
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Petrol tank
While it is tempting to fill the tank right to the top, especially on a long journey, this makes the car heavier and run less efficiently. Get into the habit of only filling your car up to a maximum of three-quarters of a tank.
While you are filling up your tank, why not upgrade your air filter, too? An air filter that is clogged with dirt, dust and bugs chokes off the air and creates a 'rich' mixture - too much petrol being burned for the amount of air, which wastes petrol and causes the engine to lose power.
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A motorist who obeys lane rules, maintains distance between vehicles and does not brake abruptly not only saves money, but also makes life easier for other drivers.