On May 1, 2026, the government announced a record increase in commercial LPG gas cylinder prices, responding to the ongoing global energy crisis. This sudden shift has sent ripples through industries reliant on these cylinders, particularly hotels and restaurants.
The price surge began with the approval of the largest increase yet for commercial LPG cylinders and smaller 5 kg gas cylinders. In Delhi, for instance, the cost of a 19 kg commercial LPG cylinder jumped from ₹2,078.50 to ₹3,071.50. Meanwhile, in Mumbai, the price rose from ₹2,031 to ₹3,024.
As if that weren’t enough, the market-priced 5 kg LPG cylinders saw an increase from ₹549 to ₹810.50. This adjustment comes amid soaring global crude oil prices—recently peaking at $126 per barrel—due to supply disruptions linked to tensions in West Asia.
Key price changes:
- Delhi: Commercial LPG price increased to ₹3,071.50
- Mumbai: Commercial LPG price increased to ₹3,024
- 5 kg market-priced LPG cylinder now costs ₹810.50
Yet, domestic LPG prices remain unchanged despite these commercial hikes. The Ministry of Petroleum and Natural Gas stated that retail pump prices for petrol and diesel will not see adjustments either. “Retail pump prices of Petrol, Diesel and domestic LPG have been kept unchanged,” they confirmed.
This sequence of events matters significantly for those in the hospitality sector. With rising operational costs due to fuel price hikes—bulk diesel now costing over ₹149 per litre—businesses are grappling with tighter margins. Union Minister of State for Petroleum and Natural Gas Suresh Gopi remarked on the situation: “Please check other parts of the world on how much prices have risen there. We could withhold to this extent.”
The implications are profound. For many small businesses already struggling post-pandemic, this increase may force tough decisions about pricing and staffing as they navigate an increasingly challenging economic landscape.
