Big Relief for Restaurants and Hotels as Commercial LPG Rates Drop
Public sector oil marketing companies (OMCs) have announced a significant price reduction for commercial Liquefied Petroleum Gas (LPG) cylinders, effective from August 1. The cost of a 19-kg commercial LPG cylinder has been reduced by ₹192 to ₹209 across major Indian cities. In the national capital, Delhi, a 19-kg commercial cylinder now costs ₹2,738, down from ₹2,930.
This marks the second consecutive monthly price drop following a ₹183.50 reduction implemented on July 1. The rate cuts bring much-needed relief to commercial establishments, including hotels, restaurants, roadside eateries, catering services, and industrial users, helping them lower operational overheads and better manage input costs.
City-Wise Commercial LPG Price Breakdown
The price revisions vary across states due to local taxation and Value Added Tax (VAT) adjustments. Kolkata witnessed the steepest decline of ₹209, bringing the price of a 19-kg cylinder down to ₹2,872.50 from ₹3,081.50. In Mumbai, prices fell by ₹194, setting the new rate at ₹2,691.50 per cylinder. Meanwhile, commercial users in Chennai will see a ₹200 drop, with cylinders now priced at ₹2,906. In National Capital Region (NCR) hubs like Noida and Gurugram, prices dropped to ₹2,738 and ₹2,755, respectively. Additionally, the price of 5-kg market-priced LPG cylinders was reduced from ₹808.50 to ₹762, benefiting small vendors and migrant workers.
Aviation Turbine Fuel (ATF) Rates Increased for Airlines
While commercial kitchen operators celebrated lower fuel costs, the aviation sector faced a fresh financial burden. State-run oil marketing companies increased Aviation Turbine Fuel (ATF), or jet fuel, rates by around ₹5 per litre. In Delhi, ATF prices rose from ₹110 per litre to nearly ₹115 per litre (or ₹1.15 lakh per kilolitre).
This price hike reverses a similar ₹5 per litre reduction announced in the previous month. Because jet fuel constitutes approximately 40 percent of an airline’s total operational expenses, this cost increase is expected to squeeze operating margins for domestic air carriers, potentially impacting airfares during peak travel periods.
Domestic LPG, Petrol, and Diesel Prices Remain Unchanged
Household budgets remain unaffected by the latest price revision. The prices of 14.2-kg domestic LPG cylinders used in home kitchens remain unchanged at ₹942 per cylinder in Delhi. Oil marketing companies continue to monitor global energy trends, noting that international benchmark volatility influences monthly price assessments. Retail petrol and diesel prices also continue to remain stable across all major metro cities with no revisions announced in the current cycle.
