As of November 2024, LPG Cylinder price varies by city from Delhi in India. Its major prices are ₹ 803 in Delhi, ₹802.50 in Mumbai, ₹829 in Kolkata and ₹818.50 in Chennai. These major updates have recently been published on Indian Oil Corporation websites for major sellers. Nineteen kilogram industrial and commercial size cylinders reduced to small degree in metros at Delhi and Mumbai too.
Determinants of LPG Prices
- International crude price and currency exchange rate: The above affects the global crude price deciding the domestic LPG, as international crude prices are robust and the value of rupee is low so costs are high so LPG costlier for the economy.
- Government Policy and Subsidies: The poor need not worry about LPG as the price is subsidized by the government. Price cuts are through policy changes which are hikes.
- Transportation and Distribution Costs: Transport costs, including fuel and logistics vary in each state, so also does LPG according to which place is closer or further off or has more demand.
Current Domestic LPG Cylinder Prices Across 10 Major States
| States | Price (₹) |
| Delhi | ₹803 |
| Punjab | ₹820.50 |
| Maharashtra | ₹802.50 |
| Tamil Nadu | ₹818.50 |
| West Bengal | ₹829 |
| Gujarat | ₹813.50 |
| Haryana | ₹815 |
| Rajasthan | ₹835 |
| Uttar Pradesh | ₹840 |
| Karnataka | ₹824 |
Domestic vs. Commercial LPG Cylinder Prices
Differences between Domestic and Commercial Pricing
These sizes are 14.2 kg for home variants for home use. India has ₹ 1,053 for 14.2 kg variants in Delhi city for a LPG cylinder. These are the economic choice in use for domestic households since they represent less cost, as they were subsidized to reduce these international market prices and taxes which added the cost in case of a commercial cylinder of 19 kg LPG.
Their latest prices in the city of Delhi were about ₹1,769. This has enabled the household pay while making the business user pay the market-based cost fully.
Patterns of Use and Demand State-Wise
In total, demand for LPG will come from urban areas and for a residential purpose in comparison with the rural areas where high dependence on alternative fuels can still be found. States who have big industrial and commercial industries suffer more due to commercial demand on LPG, hence an impact over local price adjustments in such regard.
Conclusion
Recently, India reduced the subsidy cut on commercial LPGs as its prices have increased to run the industries. Domestic LPG is subsidized by the government as the setting at times remains exposed to volatility in the oil market.
Domestic LPG can not increase substantially as it is highly subsidized, and commercial LPG may be susceptible to hike in international fuel price also. Recovery in demand due to the post-pandemic phase along with the political will also play their role.