Commercial LPG Cylinder Price Reduced by ₹24 Starting June 1
In a welcome move for businesses, oil marketing companies have announced a reduction of ₹24 in the price of commercial LPG cylinders, effective June 1, 2025. The retail price of a 19-kilogram commercial LPG cylinder in Delhi will now be ₹1,723.50. This comes after a previous price cut to ₹1,762 in April and a ₹7 reduction in February 2025, although prices were briefly increased by ₹6 in March.
In a welcome move for businesses, oil marketing companies have announced a reduction of ₹24 in the price of commercial LPG cylinders, effective June 1, 2025. The retail price of a 19-kilogram commercial LPG cylinder in Delhi will now be ₹1,723.50. This comes after a previous price cut to ₹1,762 in April and a ₹7 reduction in February 2025, although prices were briefly increased by ₹6 in March.
The price cut is expected to benefit commercial establishments and small businesses such as restaurants and hotels that rely heavily on LPG for their daily operations. Unlike commercial cylinders, prices for domestic LPG cylinders remain unchanged.
Commercial LPG accounts for about 10% of India’s total LPG consumption, while approximately 90% is used in household cooking. The variation in LPG prices across different states is influenced by local taxes and transportation costs.
The government’s decision to keep domestic LPG prices stable follows a price hike of ₹50 in March 2025, which was prompted by rising global crude oil prices following tariff announcements by the United States.
India’s natural gas pricing policy links domestic gas prices to 10% of the crude oil basket price. In May 2025, the average cost of the Indian crude basket dropped to $64.5 per barrel, the lowest in over three years. This decline is expected to reduce LPG losses for oil marketing companies by around 45% in the financial year 2026, provided crude prices remain stable near $65 per barrel.
Domestic LPG consumption has seen a significant increase over the last decade, with the number of consumers doubling to approximately 33 crore as of April 1, 2025, reflecting the growing demand for clean cooking fuel across the country.
Sources By Agencies
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