Petrol price was on Saturday hiked by Rs 1.34 a litre, the fifth increase in two months, and diesel by Rs 2.37 a litre on back of spike in global rates.
The hike announced by oil companies is excluding state levies.
After including local VAT, petrol will now cost Rs 66.05 a litre in Delhi from midnight tonight as against Rs 64.72 per litre currently.
Diesel will cost Rs 55.26 per litre as against Rs 52.61 a litre at present.
The price of petrol was last hiked by 14 paise per litre and that of diesel by 10 paise a litre on October 5, following an increase in commission paid to dealers.
Prior to that petrol price had been hiked on three occasions while diesel price was cut by 8 paise a litre on October 1.
"The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price of petrol and diesel, the impact of which is being passed on to the consumers with this price revision," Indian Oil Corp (IOC) said in a statement.
The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely and developing trends of the market will be reflected in future price changes, it said.