Fuel prices for liquefied petroleum gas (LPG), compressed natural gas (CNG), and piped natural gas (PNG) saw little change on August 14, 2026, across India's major cities. This stability follows a recent cut in commercial LPG prices, though concerns persist over future rate hikes due to geopolitical uncertainties in West Asia.
India Boosts US LPG Imports Amid Supply Concerns
In a strategic move to secure its energy supply and reduce dependency on West Asian nations, India has directed its state-run oil companies—Indian Oil, Bharat Petroleum, and Hindustan Petroleum—to source a significant portion of their LPG imports from the United States. The mandate aims for at least 15% of India’s 2027 LPG imports to come via US term contracts, with an ambition to increase this share to as much as 25%.
This initiative follows India's first-ever US term supply contracts earlier this year, which secured approximately 2.2 million tonnes, accounting for 10% of total LPG imports. Executives from the three refiners are currently in the US negotiating further supply deals, planning a joint tender for US LPG after evaluating potential suppliers and offers.
Domestic LPG Sales Below Cost; Government Faces Subsidy Burden
Despite the stable consumer prices for domestic LPG cylinders, state fuel retailers continue to sell cooking gas below cost. Junior oil minister Suresh Gopi reported that a 14.2-kg household LPG cylinder has been sold at ₹942 in Delhi since June 2026, resulting in a revenue loss of ₹188 per cylinder for state retailers in August. The government compensates these companies for losses, though payments often lag. As of July 31, pending LPG dues to state retailers exceeded ₹59,000 crore, despite a ₹30,000 crore subsidy payment for previous fiscal years.
LPG consumption fell over 16% year-on-year last month to 2.35 million tonnes. This decline is attributed to shortages pushing households and industries towards alternatives like piped natural gas (PNG) and more polluting fuels such as biomass and kerosene.
Current Fuel Prices Across Major Indian Cities (August 14, 2026)
14.2 kg Domestic LPG Cylinder Rates:
- Delhi: ₹942
- Bengaluru: ₹944.50
- Hyderabad: ₹994
- Mumbai: ₹941.50
- Chennai: ₹957.50
- Kolkata: ₹968
- Jaipur: ₹945.50
- Noida: ₹939.50
- Gurugram: ₹950.50
- Chandigarh: ₹951.50
19 kg Commercial LPG Cylinder Rates:
- Delhi: ₹2,738
- Bengaluru: ₹2,821
- Hyderabad: ₹2,985
- Mumbai: ₹2,691.50
- Chennai: ₹2,906
- Kolkata: ₹2,872.50
- Jaipur: ₹2,765.50
- Noida: ₹2,738
- Gurugram: ₹2,755
- Chandigarh: ₹2,760
CNG Prices (per kg):
- Delhi: ₹83.09
- Bengaluru: ₹97
- Hyderabad: ₹109
- Mumbai: ₹86
- Chennai: ₹97
- Kolkata: ₹99.50
- Jaipur: ₹96.50
- Noida: ₹91.70
- Gurugram: ₹88.12
- Chandigarh: ₹99.90
PNG Prices (per SCM):
- Delhi: ₹49.59
- Bengaluru: ₹53
- Hyderabad: ₹51
- Mumbai: ₹51.50
- Chennai: ₹50
- Kolkata: ₹50
- Jaipur: ₹49.50
- Noida: ₹49.45
- Gurugram: ₹48.40
- Chandigarh: ₹54.70