Domestic LPG Hiked by Rs 60, Commercial Cylinders by Rs 114.5 Amid Global Energy Surge – Full Report

India has witnessed another rise in cooking gas prices as oil marketing companies increased the price of domestic LPG cylinders by ₹60 and commercial LPG cylinders by ₹114.5. The price revision came into effect from 7 March 2026, impacting households and businesses across the country.

The increase has been linked to a global energy surge and geopolitical tensions in West Asia, which have disrupted energy supply chains and pushed up fuel prices worldwide.

The price hike is expected to affect millions of families using LPG for cooking and could also increase operational costs for restaurants, hotels, and small businesses.

Domestic LPG Price Increased by ₹60

Oil marketing companies including Indian Oil Corporation, Bharat Petroleum, and Hindustan Petroleum revised LPG prices nationwide.

After the hike, the cost of a 14.2-kg domestic LPG cylinder has increased by ₹60 in major cities.

New LPG Prices in Major Cities

• Delhi: ₹913 per cylinder

• Mumbai: ₹912.50 per cylinder

• Kolkata: ₹939 per cylinder

• Chennai: ₹928.50 per cylinder

Previously, the price in Delhi was around ₹853, meaning households now have to pay ₹60 more for each refill.

The increase applies mainly to non-subsidised LPG cylinders, which are used by the majority of urban households.

Commercial LPG Cylinder Costlier by ₹114.5

The price hike has also affected commercial LPG cylinders, which are commonly used by restaurants, hotels, street food vendors, and catering businesses.

The 19-kg commercial cylinder price has increased by about ₹114.5, taking the cost in Delhi to around ₹1,883 per cylinder.

This increase could lead to:

• Higher food prices in restaurants

• Increased operating costs for hotels

• Financial pressure on small food businesses

Experts say the hospitality industry may have to pass some of the increased costs on to customers.

Why LPG Prices Increased

The major reason behind the LPG price hike is the surge in global energy prices triggered by geopolitical conflicts in the Middle East.

Key Reasons Behind the Price Hike

1. West Asia Conflict
   Tensions and military conflicts in the Middle East have disrupted oil and gas supply chains.

2. Global Energy Price Rise
   International LPG and crude oil prices have increased significantly in recent weeks.

3. Import Dependence
   India imports nearly 85–90% of its LPG requirements, making domestic prices sensitive to global markets.

4. Currency Fluctuations
   A weaker rupee against the US dollar also increases import costs.

Because of these factors, oil companies were forced to revise LPG prices to balance rising procurement costs.

Second LPG Price Increase in Less Than a Year

This is not the first time LPG prices have been revised recently.

The last major price increase happened in April 2025, when domestic LPG cylinders became costlier by ₹50.

With the latest ₹60 hike, households are now facing a cumulative increase of over ₹100 within a year, raising concerns about inflation and household expenses.

Impact on Indian Households

The LPG price hike will directly affect millions of households, especially middle-class families who rely on LPG cylinders for daily cooking.

Key Impacts

• Increased monthly kitchen expenses

• Higher cost of cooking fuel

• Pressure on household budgets

• Possible shift to alternative cooking fuels

For many families, LPG refills are a regular monthly expense, and the price increase could make budgeting more difficult.

Impact on Businesses and Restaurants

The commercial cylinder price hike will also impact small and large businesses across India.

Industries that rely heavily on LPG include:

• Restaurants and cafés

• Street food vendors

• Catering services

• Bakeries

• Small food processing units

Since LPG is a major operational cost in the food industry, businesses may either absorb the increase or raise prices for customers.

Government Welfare Scheme Relief

Despite the price increase, beneficiaries of the Pradhan Mantri Ujjwala Yojana will continue to receive LPG cylinders at subsidised rates.

The scheme provides LPG connections to economically weaker households and has benefited more than 10 crore families in India.

Officials confirmed that subsidies under the scheme remain unchanged for now.

India’s Dependence on LPG Imports

India is one of the largest consumers of LPG in the world.

In 2025, the country consumed around 33 million metric tons of LPG, with a large portion imported from the Middle East.

Because of this dependence, global geopolitical events often affect LPG prices in India.

Countries that supply LPG to India include:

• Saudi Arabia

• Qatar

• United Arab Emirates

• United States

Any disruption in supply from these regions can lead to price fluctuations.

Panic Buying and Supply Concerns

Following the price hike and ongoing global conflict, several regions reported panic buying of LPG cylinders.

Authorities have urged citizens not to stockpile cylinders and assured that supply chains remain stable.

Oil companies have also introduced measures such as limiting frequent bookings in some areas to prevent hoarding.

Will LPG Prices Increase Further?

Energy experts warn that LPG prices could remain volatile if geopolitical tensions continue.

Factors that may influence future prices include:

• Global crude oil prices

• Middle East geopolitical stability

• Currency exchange rates

• Domestic production levels

If global energy prices continue rising, further revisions in LPG prices cannot be ruled out.

Government Efforts to Stabilize Supply

To reduce dependency on imports, the Indian government has taken steps such as:

• Increasing domestic LPG production

• Expanding LPG storage infrastructure

• Diversifying energy imports

Officials have also directed refiners to boost domestic production to ensure stable supply.

Conclusion

The latest LPG price hike, which increased domestic cylinders by ₹60 and commercial cylinders by ₹114.5, has added pressure on household budgets and business expenses across India.

The revision reflects the impact of global energy market volatility and geopolitical tensions in West Asia, which continue to influence fuel prices worldwide.

While subsidies under welfare schemes remain unchanged, the rising cost of cooking gas highlights the challenges faced by consumers in an uncertain global energy environment.

As India continues to depend heavily on LPG imports, future price movements will likely depend on international energy markets and geopolitical developments.