In a significant development in India amidst the ongoing conflict in West Asia, state-owned oil companies have announced a notable increase in the prices of 19-kg commercial cylinders and 5-kg mini cylinders on Wednesday. The prices for 5-kg mini cylinders have gone up by Rs 51, while the 19-kg commercial cylinders have experienced a more substantial hike ranging from Rs 195 to Rs 218.
Following the revision, the price of a 19-kg commercial LPG cylinder now stands at Rs 2,078.50 in Delhi and Rs 2,031 in Mumbai, reflecting an increase of Rs 195.5 in both cities. Meanwhile, in Kolkata and Chennai, prices have surged by Rs 218 and Rs 203, respectively, bringing the new rates to Rs 2,208 and Rs 2,246.
This latest price hike follows a previous increase of Rs 114.5 per cylinder that was implemented on March 1. The surge in prices is directly connected to the escalating conflict in West Asia, which has significantly disrupted international energy supply chains. The closure of the critical energy corridor, the Strait of Hormuz, due to the conflict, has led to a 50% increase in global oil prices since the war began.
This disruption in the energy supply chain, combined with the rise in oil prices, has prompted the state-owned companies to adjust the rates of commercial LPG cylinders in India. While this hike affects the commercial sector, including hotels, restaurants, and industries, domestic consumers have been unaffected for now, with rates for 14.2-kg domestic cooking gas cylinders remaining unchanged at Rs 913 in Delhi after a Rs 60 increase on March 7.
Major oil companies such as Indian Oil Corporation (IOC), Bharat Petroleum (BPCL), and Hindustan Petroleum (HPCL) review these rates on the first day of each month, considering international benchmarks and currency exchange rates. In contrast to the volatile LPG market, petrol and diesel prices have remained stable nationwide. In Delhi, petrol is priced at Rs 94.72 per liter, and diesel at Rs 87.62, with no changes since a Rs 2 per liter reduction announced in March last year.