Domestic LPG Price Hiked by ₹60:

Domestic LPG Price Hiked by ₹60: Cooking Gas Becomes Costlier Across India

Indian households received a fresh inflation shock as the price of domestic cooking gas cylinders has been increased across the country. Oil marketing companies have raised the price of domestic Liquefied Petroleum Gas (LPG) cylinders by ₹60 per cylinder, with the new

rates coming into effect immediately.

The price revision comes amid rising global energy costs linked to escalating geopolitical tensions in West Asia, particularly the conflict involving Iran, Israel, and the United States. These developments have pushed up international fuel prices and affected energy supply chains worldwide. 

The latest increase is expected to add to the financial burden on millions of Indian households already dealing with rising living costs.

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New LPG Prices in Major Cities

Following the price hike, the cost of a standard 14.2-kg domestic LPG cylinder has increased significantly in major cities across India.

According to updated price data released by Indian Oil Corporation, the revised prices are:

• Delhi: ₹913 (previously ₹853)

• Mumbai: ₹912.50

• Kolkata: around ₹939–₹930

• Chennai: around ₹928.50

The new rates took effect from March 7, marking one of the notable price adjustments in recent months. 

For many middle-class and lower-income households, LPG cylinders remain a critical household fuel used daily for cooking.

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Commercial LPG Prices Also Increased

The price hike is not limited to domestic consumers. Oil companies have also raised the price of 19-kg commercial LPG cylinders, which are widely used by restaurants, hotels, and small food businesses.

Commercial LPG cylinders have been increased by around ₹115 per cylinder. After the revision, the price of a commercial cylinder in Delhi has risen to approximately ₹1,883. 

The increase in commercial LPG prices is likely to affect small businesses, street food vendors, and restaurants, many of whom rely heavily on LPG for daily operations.

In some cases, businesses may pass on these higher costs to customers, potentially leading to increased prices for food and other services.

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Reasons Behind the Price Increase

Industry officials say the main reason behind the LPG price hike is the sharp rise in global energy prices, driven by ongoing geopolitical tensions in the Middle East.

The war and instability in West Asia have disrupted energy markets and created uncertainty around global oil and gas supplies. As a result, fuel import costs for countries like India have increased significantly.

India is one of the world’s largest importers of LPG, relying heavily on supplies from Middle Eastern producers. When international prices rise, domestic prices often follow.

The surge in global crude oil prices has also increased the financial pressure on oil marketing companies responsible for supplying LPG across the country.

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Impact on Households

The price hike will directly affect millions of households that depend on LPG for cooking.

India currently has more than 33 crore LPG consumers, making cooking gas one of the most widely used household fuels in the country. 

For middle-class families and daily wage earners, the increase may seem modest at first glance, but repeated price hikes over time can significantly raise monthly household expenses.

For example:

• A family using one LPG cylinder per month will now spend ₹720 more per year due to the ₹60 increase.

• Households that use two cylinders per month may see an annual increase of ₹1,440 in cooking gas expenses.

Such increases contribute to the broader inflationary pressure that many consumers are already experiencing.

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Government Subsidy Programs

Despite rising prices, the government continues to support certain sections of society through subsidy programs.

One of the most significant schemes is the Pradhan Mantri Ujjwala Yojana, which provides subsidized LPG connections to low-income households.

Beneficiaries of this scheme receive financial assistance to help reduce the cost of LPG refills. However, even with subsidies, price increases can still affect affordability for many families.

The government periodically reviews subsidy levels and pricing policies in order to balance consumer welfare with the financial sustainability of oil marketing companies.

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Link to Global Energy Markets

The latest LPG price revision highlights the strong connection between India’s domestic fuel prices and global energy markets.

When geopolitical tensions disrupt supply chains or increase uncertainty about future energy availability, global prices tend to rise. This affects import-dependent countries like India.

Analysts believe that ongoing tensions in the Middle East could continue to influence global oil and gas markets in the coming months.

If energy prices remain high internationally, further adjustments in domestic fuel prices cannot be ruled out.

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Concerns About Inflation

Economists warn that rising fuel prices often have ripple effects across the economy.

Higher LPG prices can indirectly contribute to inflation by increasing operating costs for businesses and service providers. Restaurants, catering services, and food vendors that depend on LPG may raise prices to offset higher expenses.

This can eventually affect consumers through higher food prices and increased cost of living.

For policymakers, managing the balance between market-driven pricing and consumer protection remains an ongoing challenge.

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Looking Ahead

Energy experts believe that the future direction of LPG prices will depend largely on developments in global energy markets.

If geopolitical tensions ease and crude oil prices stabilize, there may be room for price corrections in the future. However, if conflicts continue to disrupt supply chains, energy prices could remain volatile.

For now, households and businesses across India will need to adjust to the higher cost of cooking gas.

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Conclusion

The ₹60 increase in domestic LPG prices marks another reminder of how global events can directly impact everyday life in India.

With cooking gas being an essential household commodity, even moderate price hikes can place additional strain on family budgets. At the same time, the rise in commercial LPG prices may affect businesses and contribute to broader inflationary pressures.

As global energy markets remain uncertain, policymakers, industry leaders, and consumers alike will be closely watching how fuel prices evolve in the coming months.