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Commercial LPG, Jet Fuel Prices Rise From September 1, Businesses and Airlines Face Higher Costs

Commercial LPG PRICE HIKE
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Commercial cooking gas and aviation fuel have become more expensive in India from September 1, 2026, putting additional pressure on restaurants, hotels, caterers and airlines.

State-owned oil marketing companies have increased the price of 19 kg commercial LPG cylinders by ₹9.50. In Delhi, the price has increased from ₹2,738 to ₹2,747.50 per cylinder.

Jet Fuel Prices Rise 5.46%

  • The bigger increase is in Aviation Turbine Fuel (ATF), commonly known as jet fuel.
  • The price of ATF for domestic airlines has increased by ₹6.28 per litre, or 5.46%, taking the price from around ₹115 to ₹121.28 per litre.
  • This is the second consecutive monthly increase in ATF prices, following a ₹5 per litre increase in August.
  • Higher aviation fuel costs could put additional pressure on airlines, as fuel is one of their largest operating expenses. Depending on market conditions, airlines could eventually pass some of these higher costs on to passengers through higher airfares.

No Change in Domestic LPG

  • There is no change in the price of the 14.2 kg domestic LPG cylinder for household consumers in the latest revision.
  • The latest LPG increase mainly affects commercial users such as restaurants, hotels, catering companies and other businesses.

Why Have Prices Increased?

  • Commercial LPG and ATF prices are revised based on international energy prices and other market factors. Recent movements in global fuel markets have contributed to the latest increases.

Impact on Businesses and Consumers

  • The commercial LPG increase is relatively small per cylinder, but businesses that use large quantities of cooking gas could see their operating costs rise.
  • The ATF increase is more significant for airlines. If fuel prices remain elevated, airlines could face higher operating expenses, potentially putting pressure on ticket prices.

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