Commercial LPG, 5-kg FTL Cylinders And Domestic ATF Prices Cut As Supply Conditions Improve

Commercial cooking gas and aviation fuel became cheaper from 1 July after oil marketing companies announced fresh price cuts, signalling an improvement in fuel supplies following months of disruption linked to the West Asia conflict.

The revision includes lower prices for commercial LPG cylinders, five-kg free trade LPG (FTL) cylinders and aviation turbine fuel (ATF) used by domestic airlines. However, there is no change in the price of domestic LPG cylinders supplied to households.

Commercial LPG Gets Biggest Relief

Oil marketing companies have reduced the price of a 19-kg commercial LPG cylinder by around ₹180 across major cities.

In Delhi, the benchmark 19-kg cylinder is now priced at ₹2,930 after a cut of ₹183.50 per cylinder.

The revised rates in other metro cities are:

• Mumbai: ₹2,885, down by ₹182

• Kolkata: ₹3,081.50, lower by ₹174

• Chennai: ₹3,106, down by ₹177

The five-kg FTL cylinder, commonly used by migrant workers and small commercial users, has also become cheaper by about ₹13. Following the latest revision, a refill now costs ₹808.50.

The latest reduction comes after four successive price hikes since 7 March, which had pushed the price of commercial LPG up by nearly ₹1,345 during the peak of the supply disruption.

Domestic ATF Prices Also Reduced

Airlines operating domestic flights have also received some relief.

The price of ATF for domestic scheduled carriers has been reduced by ₹5 per litre, taking the revised price to ₹110 per litre.

The move is expected to lower fuel costs for airlines, although whether the benefit is eventually reflected in airfares will depend on individual carriers and prevailing market conditions.

Supply Situation Improves After Months Of Pressure

The latest price revision follows signs that fuel supplies are gradually returning to normal after more than 100 days of geopolitical tensions in West Asia.

Last week, on 25 June, the Union Petroleum Ministry restored industrial and commercial LPG supplies to pre-crisis levels and withdrew the temporary sector-wise allocation system that had been introduced during the supply crunch.

The latest price cuts are the first major indication that easing supply conditions are beginning to reflect in domestic fuel prices.

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Nayara Energy Rolls Back Fuel Price Hike

Private fuel retailer Nayara Energy has also revised prices at its outlets.

The company reduced petrol prices by ₹5 per litre and diesel prices by ₹3 per litre across its network of more than 7,000 fuel stations.

The move effectively reverses the increase introduced on 26 March, when the company had raised retail fuel prices amid heightened supply concerns during the conflict.

While commercial users, airlines and industrial consumers stand to benefit from the latest reductions, domestic LPG consumers will have to wait longer, as household cooking gas prices remain unchanged despite the broader easing in energy markets.