The Ministry of Petroleum and Natural Gas on Wednesday clarified that domestic LPG prices remain unchanged despite a sharp global surge, while only commercial LPG cylinder rates have been increased due to rising international costs linked to ongoing disruptions in supply chains.
The Ministry stated that the price of a 14.2 kg domestic LPG cylinder continues at Rs 913, while subsidised cylinders under the Pradhan Mantri Ujjwala Yojana remain at Rs 613. The decision aims to shield households from global price volatility amid supply disruptions caused by the Iran conflict.
In contrast, commercial LPG cylinder prices have been revised upward from April 1. Officials said these prices are market-linked, deregulated, and typically reviewed on a monthly basis. Commercial LPG accounts for less than 10 per cent of the country’s total consumption and is primarily used by industries and hotels.
The increase follows a 44 per cent rise in the Saudi Contract Price, which moved from $542 per metric tonne in March to $780 per metric tonne in April. The Ministry attributed the spike to disruptions in global supply, with an estimated 20 to 30 per cent of LPG shipments affected due to constraints in the Strait of Hormuz.
Officials said public sector oil marketing companies are currently incurring an under-recovery of Rs 380 per domestic cylinder. Cumulative losses are projected to reach approximately Rs 40,484 crore by the end of May. The statement noted that in the previous year, total losses of around Rs 60,000 crore were shared equally between oil PSUs and the Government of India to cushion the impact of international price increases.
The Ministry also highlighted that India’s domestic LPG prices remain comparatively lower than several neighbouring countries. Prices stand at approximately Rs 1,046 per cylinder in Pakistan, Rs 1,242 in Sri Lanka, and Rs 1,208 in Nepal.
Fuel prices for regular petrol and diesel remain unchanged at Rs 94.77 per litre and Rs 87.67 per litre, respectively, based on Delhi rates. Despite a surge of up to 100 per cent in global petroleum prices over the past month, oil companies are facing under-recoveries of Rs 24.40 per litre on petrol and Rs 104.99 per litre on diesel at the retail level.
The Ministry clarified that the recent Rs 2 per litre increase applies only to premium petrol variants such as XP95, Power95, and Speed, which constitute a small share of total fuel consumption and are purchased voluntarily by consumers seeking higher-performance fuels.
Authorities stated that standard petrol and diesel continue to be available at stable prices across the country, even as global fuel costs have risen significantly in recent weeks.
