The Ministry of Petroleum and Natural Gas has defended the recent ₹29 increase in domestic LPG cylinder prices, stating that Indian households continue to pay among the lowest cooking gas prices in the world. The clarification comes amid criticism from opposition parties and consumer groups following the latest hike, which raised the price of a 14.2 kg domestic LPG cylinder in Delhi from ₹913 to ₹942.
India Still Cheaper Than Many Countries
According to the ministry, cooking gas prices in India remain significantly lower than those in several neighboring nations as well as developed economies such as the United States, Canada, and Australia. The government highlighted that beneficiaries of the Pradhan Mantri Ujjwala Yojana (PMUY) continue to receive additional support, paying substantially less than the actual market-linked cost of LPG.
Global Crisis Driving Energy Costs Higher
The ministry attributed the price revision to disruptions in global energy markets caused by geopolitical tensions and supply-chain challenges. Concerns surrounding the Strait of Hormuz, one of the world’s most important energy transit routes, have pushed up international LPG prices and increased import costs for countries heavily dependent on energy imports, including India.
Oil Companies Facing Heavy Losses
Government officials noted that state-run oil marketing companies continue to incur substantial losses on every domestic LPG cylinder sold. Reports indicate that despite multiple price revisions, oil companies are still absorbing significant under-recoveries because the actual supply cost remains much higher than the retail price paid by consumers. The Centre argues that these losses demonstrate its continued efforts to shield households from the full impact of global fuel price shocks.
Opposition Continues to Raise Concerns
Opposition parties have questioned the government’s rationale, arguing that repeated LPG price hikes are increasing the financial burden on middle-class and lower-income families. Critics claim that rising cooking gas costs contribute to inflation and reduce household purchasing power. However, the government maintains that even after the latest revision, Indian consumers continue to benefit from one of the most affordable LPG pricing structures globally.
Summary: The Centre has defended the recent ₹29 LPG price hike by stating that Indian households still pay among the lowest cooking gas prices in the world. While global conflicts and supply disruptions have increased international LPG costs, the government says subsidies and price controls continue to protect consumers, even as opposition parties criticize the impact on household budgets.
