Commercial LPG Cylinder Price Hiked by Rs 993 to Rs 3,071.50 in Delhi

Commercial 19-kg LPG cylinder prices have surged by Rs 993, bringing the cost in Delhi to Rs 3,071.50. This significant hike is attributed to the ongoing Iran war, which has caused a blockade of the Strait of Hormuz, a critical route for Gulf energy supplies. The conflict has disrupted gas availability for industrial users and reduced LPG supply to commercial establishments like hotels and restaurants. Domestic cylinder prices, however, remain unchanged.

The price of 19-kg commercial LPG cylinders has seen a substantial increase of Rs 993, effective immediately. This hike elevates the cost of a commercial cylinder in Delhi to Rs 3,071.50. The primary driver behind this price adjustment is the geopolitical instability caused by the Iran war, which has led to a blockade of the Strait of Hormuz. The Strait of Hormuz is a crucial maritime chokepoint, serving as the main transit route for energy supplies from the Gulf region.While India has managed to partially mitigate crude oil supply disruptions by diversifying its sources, including increased imports from countries like Russia, the impact on gas supplies has been more severe. Consequently, gas availability for industrial users has been curtailed, and the supply of LPG to commercial establishments, such as hotels and restaurants, has been significantly reduced. This reduction in supply, coupled with global market pressures stemming from the conflict, has directly influenced the upward revision of commercial LPG prices. Importantly, sources indicate that there has been no change in the prices of domestic LPG cylinders, meaning the hike specifically targets the commercial sector. The ongoing situation highlights the vulnerability of global energy markets to geopolitical events and their direct impact on local economies and businesses.