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Saturday, March 7, 2026

Domestic LPG price hiked by Rs 60, commercial cylinder up Rs 115 amid Iran war

Domestic cooking gas prices have increased across India, with the cost of a 14.2-kg household LPG cylinder rising by Rs 60, while commercial cylinders have become costlier by about Rs 115. The revision, which took effect on March 7, comes amid rising global energy prices linked to the ongoing military conflict in West Asia.

According to the Indian Oil Corporation (IOC), the price of a non-subsidised domestic LPG cylinder in Delhi has increased from Rs 853 to Rs 913.

Similar increases have been recorded in other major cities. In Mumbai, the price has gone up to Rs 912.50, while in Kolkata it now costs around Rs 939. In Chennai, the revised price stands at Rs 928.50 per cylinder.

Industry officials said the increase reflects a surge in global energy costs triggered by tensions and disruptions in West Asia, a region critical to global oil and gas supply chains.

Despite the hike, officials maintain that cooking gas prices in India remain lower than in several neighbouring countries.

The increase marks the second revision in domestic LPG prices in less than a year. The last hike was in April 2025, when prices were raised by Rs 50. Rates differ slightly across states depending on local taxes and VAT.

Beneficiaries of the Pradhan Mantri Ujjwala Yojana, which provides LPG connections to low-income households, will continue to receive a subsidy of Rs 300 per 14.2-kg cylinder for up to 12 refills annually. The scheme currently covers more than 10 crore households across the country.

COMMERCIAL ENTITIES FEEL THE HEAT

Commercial LPG cylinders, widely used by restaurants, hotels and other establishments, have also seen a significant increase.

In Delhi, the price of a 19-kg commercial cylinder has risen from Rs 1,768.50 to Rs 1,883. In Mumbai, it now costs Rs 1,835, while the price has reached about Rs 1,990 in Kolkata and Rs 2,043.50 in Chennai.

Commercial LPG prices have risen sharply this year, with an overall increase of more than Rs 300 so far.

The price revision comes amid escalating tensions in West Asia that have unsettled global energy markets and sparked worries over the safety of shipments passing through the Strait of Hormuz.

The strategic waterway carries a significant portion of the world’s oil and gas supplies. Nearly half of India’s crude oil and LPG imports move through this route.

Recent US and Israeli strikes on Iranian positions, followed by warnings from Tehran to vessels, along with insurers pulling back coverage, have added to disruptions in tanker traffic.

GOVT ASSURANCE ON FUEL SUPPLY

The government, however, has sought to reassure consumers that there is no shortage of fuel in the country despite geopolitical tensions in the Middle East.

Petroleum and Natural Gas Minister Hardeep Singh Puri said energy supplies remain stable. “Our priority is to ensure the availability of affordable and sustainable fuel for our citizens, and we are doing it comfortably. There is no shortage of energy in India, and there is no cause of worry for our energy consumers,” he said in a post on X.

Authorities also dismissed rumours circulating on social media about a shortage of petrol or diesel.

Indian Oil Corporation said in a statement that “India has sufficient fuel stocks, and supply and distribution networks are functioning normally. Indian Oil is committed to maintaining uninterrupted fuel supply across the country. Citizens are requested not to panic or crowd fuel stations and to rely only on official sources for accurate information”.

Government sources added that India remains in a “very comfortable position” regarding crude oil, petroleum products and LPG availability.

Officials said the country has diversified its crude import sources and has sufficient reserves to meet domestic demand.

They also noted that India has expanded imports from countries such as Russia and the United States in recent years to strengthen supply security.

India currently has stocks of crude oil and refined petroleum products that can last for 50 days in total, i.e., with 25 days’ worth of crude oil and another 25 days of petroleum products, government sources said.

At the same time, officials are looking for alternative countries to import crude oil, LPG and LNG, as tensions rise in the Middle East.

With agency inputs

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