Steep hike in domestic and commercial gas cylinder prices, check new rates here
The central government has increased the price of domestic gas cylinders by Rs 60. A 14.2 kg LPG cylinder will now cost Rs 913 in Delhi, up from Rs 853 previously. A 19 kg commercial cylinder has seen a Rs 115 increase, costing Rs 1,883.
The increased prices came into effect on March 7th. Previously, the government had increased the price of domestic cylinders by Rs 50 on April 8th, 2025. This increase comes almost a year after the price hike. On March 1st, 2026, the price of commercial gas cylinders was increased by Rs 31.
The government's gas price hike comes at a time when fears of a gas shortage in the country have been raised due to the US-Israel and Iran conflicts.
Why did LPG prices suddenly increase?
Usually, LPG cylinder prices are revised on the first of every month, but this time, the sudden price hike was made on March 7th. Rising tensions in the Middle East are being cited as a major reason behind this.
War-like situations currently prevail in many Middle Eastern countries. This tension is impacting the global supply of oil and gas. Concerns have risen, particularly regarding the situation in the Strait of Hormuz.
How many days of gas reserves does India have?
Some reports also claim that India has only about 12 days of LPG reserves left. However, the government has not officially shared detailed information on this. The government has directed oil companies to increase LPG production and maintain a strong supply chain. India currently has approximately 332 million active LPG consumers, for whom ensuring uninterrupted gas supply is a major responsibility of the government.
Could LPG prices rise further?
Energy experts believe that if tensions in the Middle East continue for a long time, it could have a major impact on the global energy market. Qatar's Energy Minister, Saad al-Kaabi, has also warned that a prolonged war could lead to a global energy crisis. He also stated that crude oil prices could reach $150 per barrel. If this happens, gas prices could also see a significant surge.
Order to Increase LPG Production to Prevent Shortage
On March 5th, the government, using emergency powers, ordered all oil refineries in the country to increase LPG production.
The government issued this order in response to concerns that rising tensions in the Middle East could impact gas supplies. It states that refineries will now use propane and butane exclusively for cooking gas production.
All companies must supply propane and butane to state-owned oil companies, including Indian Oil (IOC), Hindustan Petroleum (HPCL), and Bharat Petroleum (BPCL). The goal is to ensure uninterrupted supply of gas cylinders to consumers.
What will be the impact on the common people?
The increase in the price of LPG cylinders directly impacts the budget of ordinary families. The rise in the price of cooking gas becomes a cause for concern, especially for the middle and lower-income groups. On the other hand, the increase in the price of commercial gas will increase the costs of hotels, restaurants, and the food industry. This may also impact food prices in the future.
Currently, the government and oil companies are closely monitoring the situation. If global market tensions ease, prices may stabilize. However, if the situation in the Middle East worsens, further increases in LPG prices cannot be ruled out in the coming months. In such a scenario, both energy market conditions and international politics will play a key role in determining LPG prices.