The price of domestic liquefied petroleum gas (LPG) will increase by Rs 50 per cylinder, Union Oil Minister Hardeep Singh Puri announced on April 7, 2025. Following this hike, the cost for a cylinder will rise to Rs 550 for beneficiaries of the Pradhan Mantri Ujjwala Yojana (PMUY), up from Rs 500. For non-Ujjwala consumers, the price will now be Rs 853 per cylinder, an increase from Rs 803.
Puri stated, "For PMUY beneficiaries, the price will rise from Rs 500 to Rs 550 per cylinder. For other consumers, it will increase from Rs 803 to Rs 853." This price adjustment is part of a broader strategy, as the government plans to review LPG prices every fortnight to ensure they remain aligned with market conditions.
The PMUY initiative aims to provide clean cooking fuel, primarily LPG, to women from Below Poverty Line (BPL) families in rural areas across India. This program is crucial for enhancing the quality of life for many households that rely on traditional cooking methods.
In addition to the LPG price hike, the government has also increased excise duty on petrol and diesel by Rs 2 per litre. Puri clarified that this increase would not affect retail prices at the pump. Instead, the excise duty hike is designed to help offset a significant loss of Rs 43,000 crore incurred by oil marketing companies (OMCs) due to subsidized gas prices.
Just days before the LPG price hike, OMCs reduced the price of 19-kg commercial LPG cylinders by Rs 41, bringing the revised retail price in Delhi to Rs 1,762. This reduction came after a previous increase of Rs 6 in commercial LPG prices across major cities on March 1, 2025.
Last month, the government also raised the price of natural gas produced from old legacy fields, known as APM, by 4 percent. The APM price has increased from $6.50 to $6.75 per million British thermal units effective April 1, 2025, according to a notification from the Petroleum Planning and Analysis wing of the Oil Ministry.
The recent adjustments in LPG prices reflect ongoing challenges in balancing consumer needs with the financial realities faced by oil marketing companies. As Puri noted, the government is committed to ensuring that the supply of cooking gas remains accessible while managing the economic implications of price fluctuations.
In summary, the price of LPG is set to increase, impacting both Ujjwala beneficiaries and general consumers. The government’s approach includes regular reviews of prices to adapt to market conditions, aiming to maintain a sustainable supply of cooking fuel for households across India.
