LPG prices hiked by Rs 50, excise duty on petrol and diesel raised but no impact on retail rates

The Union Government has announced a Rs 50 hike in the price of domestic LPG cylinders, effective immediately. Union Petroleum and Natural Gas Minister Hardeep Singh Puri confirmed the development on Monday, April 7 stating that the increase applies to both subsidized and non-subsidized customers.

Under the revised pricing, beneficiaries of the Pradhan Mantri Ujjwala Yojana will see the cost of a 14.2 kg LPG cylinder rise from Rs 500 to Rs 550. For non-Ujjwala consumers, the price has gone up from ₹803 to Rs 853.

This adjustment follows a reduction in commercial LPG cylinder rates last week, when prices were cut by Rs 41. That move benefitted businesses such as restaurants, hotels, and small-scale enterprises that rely on commercial gas cylinders.

In a related move, the government has increased the excise duty on petrol and diesel. As per an official notification, the duty on petrol has been raised to Rs 13 per liter, while diesel will now attract an excise duty of Rs10 per liter. These changes will be effective from April 8, 2025.

However, the hike in excise duties will not impact consumers at the pump. Officials clarified that oil marketing companies will absorb the additional tax burden, aided by a decline in international crude oil prices. Consequently, retail prices of petrol and diesel are expected to remain unchanged.