Amid reports of a Rs 111 rise in commercial LPG cylinder prices, the Government stated that these prices are market-driven and linked to international benchmarks. Any changes in commercial LPG prices reflect global price fluctuations, while domestic LPG rates for households remain unaffected, as per the Ministry of Petroleum & Natural Gas.
India imports about 60% of its total LPG requirement, tying domestic LPG pricing to international rates, with the Saudi Contract Price (CP) serving as the global standard.
The Ministry emphasized that adjustments in commercial LPG prices mirror shifts in global LPG rates and associated expenses, with no impact on domestic LPG prices.
While the average Saudi CP surged by approximately 21% from $385 per metric tonne in July 2023 to $466 per metric tonne in November 2025, domestic LPG prices in India actually decreased by around 22% during the same period. The price dropped from Rs 1103 in August 2023 to Rs 853 in November 2025.
To safeguard household consumers, a 14.2 kg domestic LPG cylinder, typically priced at around Rs 950, is being offered at Rs 853 for non-PMUY consumers in Delhi. PMUY beneficiaries enjoy an even lower rate at Rs 553, marking a nearly 39% reduction compared to Rs 903 in August 2023, underscoring the Government’s commitment to ensuring affordable clean cooking fuel access for economically weaker sections.
For the fiscal year 2025–26, the Government sanctioned the continuation of a targeted subsidy of Rs 300 per domestic LPG cylinder for PMUY beneficiaries, covering up to nine refills annually. An allocation of Rs 12,000 crore has been set aside for this purpose, reinforcing the dedication to providing economical clean energy for households.
Despite a surge in international LPG prices in 2024–25, the increased costs were not transferred to domestic consumers, resulting in approximately Rs 40,000 crore losses for Oil Marketing Companies (OMCs).
