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Key Takeaway
A gas cylinder and firewood for Rs 942 on the streets: How India's LPG crisis is turning into a political fire?
Home cooking gas is costlier again-the second hike in just three months.
Oil Marketing Companies have added Rs 29 per 14.2 kg LPG cylinder effective from June 7, 2026, and taking Delhi rate has gone from Rs 913 to Rs 942.
The price hike has already sparked political outrage; the opposition has come out in protest.
The Congress leaders in Karimnagar resorted to Vanta Vaarpu program at Indira Chowk, using firewood to cook food to oppose the rise in prices, on the same day, June 9.
The Government declared the cost of Natural Gas to supply one cylinder to have touched the figure of Rs 1,600, with an approximate Rs 700 per local cylinder of under-recovery compared to a Saudi CP reference price for LPG, which has gone up 46 per cent compared to February 28, 2026.
The June hike comes on the heels of a Rs 60 increase per cylinder effected on March 7, when war in West Asia sent the global energy supplies haywire.
Even with both increases, oil companies are still selling domestic LPG way below the cost price.
The table below shows the trajectory of domestic LPG prices in Delhi across the 2026 price revision cycle, based on data from Indian Oil Corporation and PTI reports.
As of the latest increase, petrol & Diesel rates have cumulatively increased by Rs 7.50 per litre since mid May 2026.
CNG rates have risen by around Rs 6 per kg over the same period. From the kitchen to the car to the commute- costs have risen for Indian households in a matter of weeks.
A rise of Rs 89 over a period starting from March increases the cooking expenditure in one family of 5, relying on one cylinder a month, by Rs 1,068 in a year.
The household beneficiaries were provided with an annual household subsidy of Rs 2700 which has been reduced to Rs 1200 under the new subsidy scheme due to a reduction of subsidised cylinders from nine to four.
The women of the rural sector(primary beneficiaries of PMUJ) who were mainly targeted by the new scheme are hit hardest due to the hike in fuel prices.
Most economists and market watchers agree that the explanation behind the price hike is convincing.
The March 2006 LPG price rise was related to the West Asia conflict and supply shortages in global energy, and the current price rise is because of increased international fuel prices and supply constraints.
A significant portion of the rise has been absorbed by the government rather than passed on to the consumer.
It is to be noted that at Rs 3,113.50 in Delhi (Rs 164 a kg), a 19 kg commercial cylinder is significantly more expensive than the domestic household at Rs 66 a kg following the June 7 increase.
LPG pricing is not Indian cooking; it's not about the Indian price mechanism anymore. It's solely about a geo-political issue raging thousands of miles away. This is a problem, but there is no solution for Indian families because every family that uses cooking gas will continue to pay for the gas.
How many times in the past three months?
The cooking gas or LPG prices have increased 2 times in the past three months.
What's your take on the domestic LPG price hike in the backdrop of the West Asia conflict?
The inability of the import- dependent energy market leaves it in an exposed, vulnerable position, creating a nearly impossible trade-off between insulating the householders and incurring massive spending from the exchequer.
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