Following the outbreak of conflict in Iran and the blockade of the Strait of Hormuz, there was a global shortage in the supply of crude oil and gas. However, Iran later allowed five of its allies—including India, Russia, and China—to pass through this vital waterway. As a result, gas supply to India has improved. As a result, the positive impact of this development is now clearly visible in the availability of LPG. Meanwhile, the Ministry of Petroleum and Natural Gas has made biometric Aadhaar authentication (e-KYC) mandatory for all domestic LPG consumers. As of today, the price of a 14.2 kg domestic LPG cylinder in Delhi is ₹913. There has been no change in domestic gas prices since last month.
Who decides the prices of LPG?
In India, LPG prices are decided by government oil marketing companies and are usually revised every month. These prices mainly depend on international LPG benchmark rates and exchange rate fluctuations between the Indian Rupee and the US Dollar.
Changes in LPG prices can have a direct impact on the household budget, as LPG is the main fuel used for cooking in most of the households in India. The price increase also impacts small businesses—such as restaurants, street food vendors, and catering services—which rely heavily on LPG for their daily operations.
