LPG Price Hike: Govt says rates in India among world's lowest despite 46 pc jump in global benchmark

Business To Business, New Delhi, 7^th June, 2026:   The Indian government has defended the latest increase in domestic LPG prices, stating that Indian households still pay among the lowest cooking gas prices globally despite a sharp rise in international LPG rates caused by disruptions in West Asia.
Effective August 2026, the price of a 14.2-kg domestic LPG cylinder in Delhi has increased by ₹29, from ₹913 to ₹942.
Beneficiaries of the Pradhan Mantri Ujjwala Yojana will continue to receive a subsidy of ₹300 per cylinder, making their effective cost ₹642 per refill. The subsidy is available on the first four refills each year.
This follows a previous ₹60-per-cylinder hike announced on March 7, bringing the total increase in domestic LPG prices this year to ₹89 per cylinder.
According to the government, state-run oil marketing companies have been incurring significant losses on domestic LPG sales because retail prices have not kept pace with rising international LPG costs.
The government argues that even after the latest revision, Indian consumers—especially PMUY beneficiaries—continue to receive substantial support and pay less than consumers in many other countries.
Key takeaway: The government says the price hike is necessary to partially offset losses faced by oil marketing companies due to higher global LPG prices, while maintaining subsidies for poorer households through the Ujjwala scheme.