Commercial LPG crosses 3,000-mark; Kolkata sees steepest rise of ₹994

The ongoing conflict involving the US, Iran, and Israel has triggered a massive spike in energy costs, leading to a ₹993 average increase in the price of commercial LPG cylinders effective May 1, 2026. In the national capital, Delhi, a 19 kg commercial cylinder now costs ₹3,071.50, up from its previous price of ₹2,078.50. This hike comes as no surprise to market experts, as prices were expected to climb following the widening tensions in West Asia and the resulting impact on global supply chains.

A primary driver behind this steep escalation is the closure of the Strait of Hormuz, a critical maritime chokepoint that handles approximately 20% of the world's oil and natural gas transportation. The disruption at this hub has tightened global markets significantly. Domestically, India is also grappling with a supply crunch, further exacerbated by reports of hoarding and black marketing as consumers scramble to secure supplies.

Despite the heavy blow to the commercial sector, Indian Oil confirmed that prices for domestic LPG cylinders remain unchanged for May. A 14.2 kg domestic cylinder continues to retail at ₹913 in Delhi. This follows a ₹60 increase in domestic cylinder rates just last month, providing a temporary breathing space for households even as commercial rates across metro cities like Kolkata and Mumbai soar past the ₹3,000 mark.

Oil marketing companies have been frequently adjusting rates to keep up with the volatile international situation. Before this massive May hike, commercial cylinder prices had already risen by ₹114.50 in March and another ₹196 in April. With Kolkata seeing the highest new rate at ₹3,202 after a hike of ₹994, businesses in the hospitality and food sectors are likely to face significant operational pressure.