New Delhi, January 1, 2026: State-owned oil marketing companies on Thursday revised fuel prices in line with global benchmarks, reducing the price of aviation turbine fuel (ATF) by 7.3 per cent while increasing the rate of commercial LPG cylinders by Rs 111.
According to official data, the price of ATF in the national capital was lowered by Rs 7,353.75 per kilolitre, bringing it down to Rs 92,323.02 per kl. The reduction is expected to provide some relief to airlines, for whom fuel accounts for a significant portion of operating costs.
In contrast, commercial LPG prices saw an upward revision. The cost of a 19-kg commercial LPG cylinder was increased by Rs 111, reflecting movements in international energy markets.
Explaining the hike, the Union Oil Ministry said commercial LPG prices are market-determined and directly linked to global price trends. It added that revisions in commercial LPG rates are based on changes in international LPG prices and related costs. The ministry clarified that there has been no change in domestic LPG prices meant for household consumption.
India imports nearly 60 per cent of its LPG requirements, making domestic pricing sensitive to international benchmarks, particularly the Saudi Contract Price (CP). The ministry noted that while the average Saudi CP rose by around 21 per cent—from USD 385 per tonne in July 2023 to USD 466 per tonne in November 2025—domestic LPG prices were reduced by about 22 per cent during the same period.
To shield household consumers from global price volatility, the government has maintained lower effective prices for domestic LPG cylinders. In Delhi, a 14.2-kg domestic LPG cylinder, priced at around Rs 950, is available at Rs 853 for non-PMUY consumers and at Rs 553 for beneficiaries under the Pradhan Mantri Ujjwala Yojana (PMUY).
The latest price revisions come as part of the oil companies’ routine monthly adjustments, aimed at aligning domestic fuel prices with prevailing international market conditions.
