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Price of aviation turbine fuel (ATF), or jet fuel, was reduced by 7.3% on Thursday, January 1, while commercial LPG rate was raised by ₹ 111 per cylinder, as state-owned oil marketing companies implemented their monthly price revisions aligned with global fuel benchmarks.
ATF price in Delhi was cut by ₹7,353.75 per kilolitre, or 7.3%, to ₹92,323.02 per kl, according to state-owned fuel retailers.
Commercial LPG rates were hiked by ₹111 per 19-kg cylinder in line with global benchmarks.
Commenting on the increase in price of commercial LPG cylinders, a statement issued by the Oil Ministry said the price of commercial LPG cylinders is market-determined and linked to international benchmarks.
"Accordingly, revisions in commercial LPG prices reflect movements in global LPG prices and associated costs. The prices of domestic LPG remain unchanged," it added.
India imports about 60% of its LPG requirement, and domestic LPG prices are therefore linked to international prices, with Saudi CP serving as the international benchmark.
While the average Saudi CP rose by about 21% from USD 385 per tonne in July 2023 to $466 per tonne in November 2025, the price of domestic LPG was reduced by about 22% during the same period, from ₹1,103 in August 2023 to ₹853 in November 2025," the statement said.
It went on to state that to protect domestic consumers, the effective price of a 14.2 kg domestic LPG cylinder, which costs around ₹950, is available at ₹853 for non-PMUY domestic consumers in Delhi and ₹553 for PMUY beneficiaries.
"This reflects a reduction of about 39% in the effective price for PMUY consumers, from ₹903 in August 2023 to ₹553 in November 2025, underscoring the Government's focused support to ensure sustained use of clean cooking fuel. There is no change in this pricing," it said.
Also read: GE Shipping to expand fleet, buy South Korea made tanker
The number of commercial LPG cylinder users is significantly lower, at around 30 lakh, compared to over 33 crore domestic LPG consumers. Commercial LPG is primarily used by large establishments, such as hotels, restaurants, and other big commercial enterprises, whereas domestic LPG caters to household cooking needs across the country.
The reduction in ATF prices came after three rounds of monthly price hikes. The rate was last raised by ₹5,133.75 per kl, or 5.4%, on December 1. Prior to that, prices had risen by about 1% on November 1 and by 3.3 % on October 1.
The cut announced on Thursday neutralises more than two-thirds of the price increase that happened since October 1.
The latest reduction is expected to ease pressure on airlines, for which fuel accounts for nearly 40% of operating costs.
No immediate comments could be obtained from the airlines on the impact of the price change.
In Mumbai, the ATF price was revised to ₹86,352.19 per kl, while prices in Chennai and Kolkata were cut to ₹95,770 and ₹95,378.02 per kl, respectively.
Fuel prices vary across cities due to local taxes.
Alongside, the price of a 19-kg commercial LPG cylinder used by hotels and restaurants was hiked by a steep ₹ 111 to Rs 1,691.50 in Delhi.
The price increase comes on the back of two rounds of monthly reduction. Prices were last cut by ₹ 15.50 per 19-kg cylinder on December 1. Prior to that, the rate was reduced by ₹ 5 per cylinder.
Commercial LPG prices are now at their highest level since June last year.
Prices of domestic LPG, used in household kitchens for cooking, remained unchanged at ₹ 853 per 14.2-kg cylinder, following a ₹ 50 hike in April 2025.
Indian Oil Corporation, Bharat Petroleum and Hindustan Petroleum revise ATF and LPG prices on the first day of every month based on international benchmarks and the exchange rate.
Also read: Time Technoplast secures PESO nod for high-pressure composite cylinders
While oil prices have moderated over the last one month, winter heating requirements have pushed up LPG rates in global markets.
Petrol and diesel prices continue to remain frozen after a ₹ 2 per-litre reduction in March last year; petrol currently costs ₹ 94.72 per litre in Delhi and diesel ₹ 87.62.
For the financial year 2025-26, the government has approved the continuation of the targeted subsidy of ₹ 300 per 14.2 kg cylinder for up to nine refills per year for PMUY consumers, with an approved expenditure of Rs 12,000 crore. These measures demonstrate the government's continued focus on ensuring affordable access to clean cooking fuel for households.
"While international LPG prices increased during 2024-25 and continue to remain elevated to shield domestic consumers from global price volatility, the increase in costs was not passed on to domestic LPG prices, resulting in Rs 40,000 crore losses for Oil Marketing Companies (OMCs).
"To address this and ensure uninterrupted supply of domestic LPG at affordable prices, the government has recently approved compensation of Rs 30,000 crore to the OMCs," the statement said.
In addition, at the start of the New Year, there has been positive news for consumers in the clean fuel segment. Prices of Compressed Natural Gas (CNG) and Piped Natural Gas (PNG) have been reduced in select cities with effect from January 1.
This includes downward revisions in PNG prices in parts of the Delhi-NCR region and a reduction of ₹ 1 each in CNG and domestic PNG prices announced by gas distribution companies. These reductions follow recent changes in pipeline tariffs and are expected to provide relief to households and vehicle users, while further promoting the adoption of cleaner fuels.
"Overall, while commercial LPG prices reflect international market conditions, the Government has taken consistent and targeted measures to insulate domestic LPG consumers from global price fluctuations, ensure affordability, and promote the use of clean cooking and transport fuels across the country," the statement added.
ATF price in Delhi was cut by ₹7,353.75 per kilolitre, or 7.3%, to ₹92,323.02 per kl, according to state-owned fuel retailers.
Commercial LPG rates were hiked by ₹111 per 19-kg cylinder in line with global benchmarks.
Commenting on the increase in price of commercial LPG cylinders, a statement issued by the Oil Ministry said the price of commercial LPG cylinders is market-determined and linked to international benchmarks.
"Accordingly, revisions in commercial LPG prices reflect movements in global LPG prices and associated costs. The prices of domestic LPG remain unchanged," it added.
India imports about 60% of its LPG requirement, and domestic LPG prices are therefore linked to international prices, with Saudi CP serving as the international benchmark.
While the average Saudi CP rose by about 21% from USD 385 per tonne in July 2023 to $466 per tonne in November 2025, the price of domestic LPG was reduced by about 22% during the same period, from ₹1,103 in August 2023 to ₹853 in November 2025," the statement said.
It went on to state that to protect domestic consumers, the effective price of a 14.2 kg domestic LPG cylinder, which costs around ₹950, is available at ₹853 for non-PMUY domestic consumers in Delhi and ₹553 for PMUY beneficiaries.
"This reflects a reduction of about 39% in the effective price for PMUY consumers, from ₹903 in August 2023 to ₹553 in November 2025, underscoring the Government's focused support to ensure sustained use of clean cooking fuel. There is no change in this pricing," it said.
Also read: GE Shipping to expand fleet, buy South Korea made tanker
The number of commercial LPG cylinder users is significantly lower, at around 30 lakh, compared to over 33 crore domestic LPG consumers. Commercial LPG is primarily used by large establishments, such as hotels, restaurants, and other big commercial enterprises, whereas domestic LPG caters to household cooking needs across the country.
The reduction in ATF prices came after three rounds of monthly price hikes. The rate was last raised by ₹5,133.75 per kl, or 5.4%, on December 1. Prior to that, prices had risen by about 1% on November 1 and by 3.3 % on October 1.
The cut announced on Thursday neutralises more than two-thirds of the price increase that happened since October 1.
The latest reduction is expected to ease pressure on airlines, for which fuel accounts for nearly 40% of operating costs.
No immediate comments could be obtained from the airlines on the impact of the price change.
In Mumbai, the ATF price was revised to ₹86,352.19 per kl, while prices in Chennai and Kolkata were cut to ₹95,770 and ₹95,378.02 per kl, respectively.
Fuel prices vary across cities due to local taxes.
Alongside, the price of a 19-kg commercial LPG cylinder used by hotels and restaurants was hiked by a steep ₹ 111 to Rs 1,691.50 in Delhi.
The price increase comes on the back of two rounds of monthly reduction. Prices were last cut by ₹ 15.50 per 19-kg cylinder on December 1. Prior to that, the rate was reduced by ₹ 5 per cylinder.
Commercial LPG prices are now at their highest level since June last year.
Prices of domestic LPG, used in household kitchens for cooking, remained unchanged at ₹ 853 per 14.2-kg cylinder, following a ₹ 50 hike in April 2025.
Indian Oil Corporation, Bharat Petroleum and Hindustan Petroleum revise ATF and LPG prices on the first day of every month based on international benchmarks and the exchange rate.
Also read: Time Technoplast secures PESO nod for high-pressure composite cylinders
While oil prices have moderated over the last one month, winter heating requirements have pushed up LPG rates in global markets.
Petrol and diesel prices continue to remain frozen after a ₹ 2 per-litre reduction in March last year; petrol currently costs ₹ 94.72 per litre in Delhi and diesel ₹ 87.62.
For the financial year 2025-26, the government has approved the continuation of the targeted subsidy of ₹ 300 per 14.2 kg cylinder for up to nine refills per year for PMUY consumers, with an approved expenditure of Rs 12,000 crore. These measures demonstrate the government's continued focus on ensuring affordable access to clean cooking fuel for households.
"While international LPG prices increased during 2024-25 and continue to remain elevated to shield domestic consumers from global price volatility, the increase in costs was not passed on to domestic LPG prices, resulting in Rs 40,000 crore losses for Oil Marketing Companies (OMCs).
"To address this and ensure uninterrupted supply of domestic LPG at affordable prices, the government has recently approved compensation of Rs 30,000 crore to the OMCs," the statement said.
In addition, at the start of the New Year, there has been positive news for consumers in the clean fuel segment. Prices of Compressed Natural Gas (CNG) and Piped Natural Gas (PNG) have been reduced in select cities with effect from January 1.
This includes downward revisions in PNG prices in parts of the Delhi-NCR region and a reduction of ₹ 1 each in CNG and domestic PNG prices announced by gas distribution companies. These reductions follow recent changes in pipeline tariffs and are expected to provide relief to households and vehicle users, while further promoting the adoption of cleaner fuels.
"Overall, while commercial LPG prices reflect international market conditions, the Government has taken consistent and targeted measures to insulate domestic LPG consumers from global price fluctuations, ensure affordability, and promote the use of clean cooking and transport fuels across the country," the statement added.
