Consumers across major Indian cities woke up to revised fuel prices on May 5, with significant changes particularly for commercial liquefied petroleum gas (LPG). The cost of a 19-kg commercial LPG cylinder in Delhi surged by a substantial Rs 993, reaching Rs 3,071.50. This marks the third consecutive monthly increase, driven largely by ongoing supply disruptions stemming from the escalating conflict in West Asia.
Impact of Geopolitical Tensions on India's Energy Supply
The recent escalation of hostilities between the US and Iran in the Gulf, including attacks near the vital Strait of Hormuz, has severely impacted global energy trade. India, which imports approximately 60% of its LPG requirements—much of it through this critical maritime choke-point—has been particularly affected. Official data reveals a sharp 16.16% drop in India’s LPG consumption in April compared to the previous year, with sales falling to 2.2 million tonnes from 2.62 million tonnes.
This supply crunch has prompted the Indian government to implement measures to safeguard household cooking gas availability. Supplies to commercial establishments, such as hotels and industries, have been curtailed, and the gap between domestic LPG cylinder refills has been increased.
LPG, CNG, and PNG Rates Across Major Cities
While commercial LPG prices saw a steep rise, the rates for 14.2 kg domestic LPG cylinders remained unchanged across the country. Meanwhile, prices for Compressed Natural Gas (CNG) and Piped Natural Gas (PNG) also saw adjustments in various urban centers.
Domestic LPG (14.2 kg Cylinder) Prices on May 5:
- Delhi: ₹913
- Bengaluru: ₹915.50
- Hyderabad: ₹965
- Mumbai: ₹912.50
- Chennai: ₹928.50
- Kolkata: ₹939
Commercial LPG (19 kg Cylinder) Prices on May 5:
- Delhi: ₹3,071.50
- Bengaluru: ₹3,152
- Hyderabad: ₹3,315
- Mumbai: ₹3,024
- Chennai: ₹3,237
- Kolkata: ₹3,202
CNG Prices per kg on May 5:
- Delhi: ₹77.09
- Bengaluru: ₹88.95
- Hyderabad: ₹97
- Mumbai: ₹81
- Chennai: ₹91.50
- Kolkata: ₹93.50
PNG Prices per SCM (Standard Cubic Meter) on May 5:
- Delhi: ₹47.90
- Bengaluru: ₹52
- Hyderabad: ₹51
- Mumbai: ₹50
- Chennai: ₹50
- Kolkata: ₹50
Mandatory Switch to PNG for Eligible Households
In a related development, a government directive issued in late March has made it mandatory for consumers with active PNG connections to surrender their domestic LPG connections. Furthermore, these households are now barred from applying for new domestic LPG connections. The order specifies that LPG supply will cease after three months if a household fails to switch to PNG despite its availability, aiming to optimize energy distribution and usage.