The price of a 19-kg commercial LPG cylinder has increased by ₹62.50 in Delhi from October 1, taking it from ₹2,747.50 to ₹2,810, as oil marketing companies revised rates at the start of the month. The increase comes just as demand typically rises during the festive season, putting additional pressure on hotels, restaurants, eateries, dhabas, caterers and other small businesses that rely on commercial cooking gas.
Across major cities, the increase varies, with some locations seeing a rise of more than ₹70 per cylinder. Meanwhile, households have been shielded from the latest revision, with the price of a 14.2-kg domestic LPG cylinder remaining unchanged at ₹942 in Delhi. The latest increase is the second consecutive monthly rise in Delhi after a ₹9.50 increase in September.
Businesses Face Higher Costs
The latest revision means commercial LPG users will have to pay more for every cylinder purchased from October 1. In Delhi, the 19-kg cylinder now costs ₹2,810, while Mumbai’s price has risen to ₹2,764.50, Chennai’s to ₹2,983 and Kolkata’s to ₹2,954. Patna recorded one of the highest increases among the cities reported, with the price rising by ₹71.50 to ₹3,100.50.
For businesses operating on tight margins, the timing of the increase is significant. Restaurants, roadside eateries, hotels, caterers and food stalls often depend heavily on commercial LPG for cooking, particularly when preparing larger quantities of food. The festive period can bring higher customer footfall and catering orders, but the higher cost of fuel adds to their operating expenses at the same time.
While oil marketing companies have revised the rates, no official statement explaining the specific October increase has been reported alongside the announcement. Commercial LPG prices are generally revised monthly, with changes influenced by international benchmark prices, the rupee-dollar exchange rate and other market factors. Prices can also differ between cities because of local taxes.
Domestic LPG Stays Steady
The latest increase is limited to commercial cylinders, meaning household consumers will not see a change in the price of their regular 14.2-kg LPG cylinders from October 1. In Delhi, the domestic cylinder continues to cost ₹942. Mumbai’s rate remains ₹941.50, while Chennai’s remains ₹957.50.
The distinction between the two categories is important because commercial LPG is widely used by businesses for cooking, whereas domestic cylinders are primarily supplied for household consumption. The unchanged household rate therefore means the latest revision does not directly increase the monthly LPG bill for families purchasing the standard domestic cylinder.
The October increase also follows considerable movement in commercial LPG prices earlier this year. According to The Economic Times, the Delhi price had risen sharply between February and June before falling substantially in July and August. It was subsequently increased by ₹9.50 in September, before the latest ₹62.50 rise in October. At ₹2,810, the current Delhi price remains considerably below the June peak but is still substantially higher than its February level.
The timing has added significance because October marks the beginning of the festive period, when food and hospitality businesses typically experience increased activity. Any sustained rise in cooking fuel costs could become another expense for businesses already managing ingredients, wages, rent, electricity and transportation costs.
The Logical Indian’s Perspective
Price revisions for commercial fuel can have effects that extend beyond the businesses purchasing the cylinders. When operating costs rise, businesses may absorb the additional expense, reduce margins or eventually pass some of the cost on to customers through higher prices. At the same time, keeping domestic LPG prices unchanged provides some stability for household budgets.
The challenge is to ensure that energy pricing remains transparent and that the concerns of small businesses and consumers are considered alongside broader market and fiscal realities. As the festive season begins, how do you think businesses can manage rising operating costs without placing an additional burden on customers?
